IHT400 Notes : Guide to completing your Inheritance Tax account

Bank Giro Credit
Paying tax by
transferring assets
instead of money
64
IHT400 Notes
National Savings &
Investments products
What happens if listed
shares or land and
buildings are sold for
less than their value?
How to make sure there
is no more tax to pay
Guide to completing your Inheritance Tax account
If you wish to pay by Bank Giro, please take your cheque and payslip to
your bank.
You may pay some or all of the tax and interest that needs to be paid
before you can apply for a grant by using National Savings & Investments
products owned by the deceased. However, it can take up to four weeks to
process a payment. Please see leaflet Payment of Inheritance Tax from
National Savings, available from the Probate and Inheritance Tax Helpline,
for full details on how to make a payment in this way, or go to
www.hmrc.gov.uk/payinghmrc/inheritance.htm
You must pay the tax and interest due in order to get a grant or
confirmation. But you can tell us (then or within three months afterwards)
that you would like us to accept National Heritage assets in payment of
some or all of the tax and interest. If we accept them we will repay all or
part of the cash you have paid up to the amount of the tax and interest we
agree may be satisfied by our acceptance of these assets.
You may tell us before you apply for a grant or confirmation that you
intend to offer assets in payment of tax. But we cannot accept them until
after the grant or confirmation is issued.
To make an offer, please include a covering letter with the form IHT400 or
write to us within three months after the grant or confirmation is issued.
If you are making an offer of an asset in payment of tax you might also
wish to claim Conditional Exemption for the asset. See page 40 of this
guide for details of how to claim Conditional Exemption.
For further information, please phone the Probate and Inheritance
Tax Helpline on 0845 30 20 900 and ask to be put through to the
Heritage Team.
If:
• shares listed on the stock exchange are sold within one year of the date
of death, or
• land and buildings are sold within four years of the date of death for
less than the value included on form IHT400,
we may be able to reduce the Inheritance Tax. Phone our helpline if this
applies to you and we will tell you what you have to do.
If you have worked out that there is no tax to pay we will check form
IHT400 and, if we agree, we will send you a letter confirming that there is
no tax to pay.
If there is some tax to pay on the estate, then when we think that the value
of all the assets and debts in the estate is settled and you have paid all the
tax and interest, we will send you a letter confirming this.