A recent Freedom of Information request from NFU mutual revealed that the number of people HMRC has refunded inheritance tax to has more than doubled in the past two years – due to falling house prices!
During the period April 2010 and April 2017 circa 2,000 – 3,000 people were refunded inheritance tax because they subsequently sold a property for less than the property was valued.
That number increased to over 4,000 between 2017 and 2018 and increased again to 4,500 between 2018 and 2019.
Inheritance Tax (IHT) is charged on the value of assets at death and must be paid before the estate can be handed over to the family. However, if executors sell a property for a lower value within four years of the death, they can reclaim the tax paid on the loss.
We provide a comprehensive range of services to assist personal representatives with all matters in respect of non-contentious probate and estate administration. If you need help give us a call on 01788 539000.