The deceased's personal representatives must deliver an account specifying, to the best of their knowledge and belief, all property forming part of his estate immediately before his death and the value thereof. In addition they must also provide details of all chargeable transfers made within seven years of his death1. Executors in respect only of settled land in England and Wales need specify only the settled land2. A deceased's estate immediately before his death does not include excluded property3.
The personal representatives do not need to deliver an account of property which only forms part of the estate by virtue of FA 1986, s 102(3) (the gift with reservation (see I3.436) provisions)4. The accounting party for such property is any person in whom the property is vested5, and he has until 12 months from the end of the month in which the donor died to deliver his account6.
If an instrument of variation (I4.411–I4.420)7 results in additional IHT being payable, it must be reported to HMRC, and this has to be done within six months of it being made8. The persons liable to report it will be the person or persons who make the instrument and the personal representatives, compliance by one absolving the others. Failure to report it within that period will incur penalties9, but it will not prevent the variation from applying. This reporting requirement applies to an instrument of variation which causes additional IHT to be payable, but not to a disclaimer which