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    • Former MSE Sam M
    • By Former MSE Sam M 23rd Mar 17, 4:40 PM
    • 238Posts
    • 159Thanks
    Former MSE Sam M
    The Great Hunt: Help others if you've been an executor of a will
    • #1
    • 23rd Mar 17, 4:40 PM
    The Great Hunt: Help others if you've been an executor of a will 23rd Mar 17 at 4:40 PM
    We're after your experiences and tips to help inform a new guide we're writing.

    Did you have to deal with probate?

    What did you learn?

    What do you wish you had known at the time?


    Thanks in advance.


    This Forum tip was included in MoneySavingExpert.com's weekly email!
    Last edited by Former MSE Sam M; 28-03-2017 at 10:58 AM.
Page 6
    • randers
    • By randers 3rd Jan 18, 8:57 PM
    • 9 Posts
    • 1 Thanks
    randers
    I realise you've almost certainly done this, but just in case...
    How do you know he had assets? - is it word of mouth, or credits appearing in a bank account for instance. Is there anything there that you could work back from?
    • Rosie1980
    • By Rosie1980 5th Jan 18, 12:11 PM
    • 115 Posts
    • 47 Thanks
    Rosie1980
    Fortunately I have only ever dealt with estates where either I know where all the money is as I was helping the deceased with their finances, or they were very organised and had it all in nice folders.

    I have had a think on your problem. It won't be quick but if you ensure that all mail is forwarded to yourself for 18months then any companies who haven't heard from the deceased in that time frame should send statements or communication by post. Also have you any way of accessing the deceased's emails, that could shed some light on the situation? All the best with your efforts.
    • Tom99
    • By Tom99 6th Jan 18, 1:54 AM
    • 1,035 Posts
    • 627 Thanks
    Tom99
    Gifts From Income

    If you are making gifts above the annual allowance of £3,000 and expect your executor to claim gifts were made out of income, then keep meticulous records of your income and expenditure for up to 7 years. Start filling in sections 20/21/21 of Form IHT403 for your own estate with back up records.

    It is hard enough to produce income and expenditure records at the required level of detail to claim this exemption, even when you are alive and have access to all your online accounts. It might be next to impossible for your executor to reconstruct these records from scratch.

    Capital Gains Tax

    If a property within an estate is sold some time after death at a price greater than its probate value then CGT make be payable, after allowances, on this gain. If the property is sold by the estate then CGT is at the higher rate of 28% and only one annual allowance of £11,300 is available.

    If CGT is likely and particularly if there is more than one beneficiary, generally CGT can be reduced by transferring the beneficial interest in the property to each of the beneficiaries before to sale to a 3rd party. That way each beneficiary is liable to CGT on their own share with their own £11,300 allowance and if any tax is payable they may only be liable at 18% if they are a basic rate taxpayer.
    Last edited by Tom99; 06-01-2018 at 8:49 AM.
    • Rosie1980
    • By Rosie1980 6th Jan 18, 2:06 PM
    • 115 Posts
    • 47 Thanks
    Rosie1980
    [B]Gifts From Income

    If CGT is likely and particularly if there is more than one beneficiary, generally CGT can be reduced by transferring the beneficial interest in the property to each of the beneficiaries before to sale to a 3rd party. That way each beneficiary is liable to CGT on their own share with their own £11,300 allowance and if any tax is payable they may only be liable at 18% if they are a basic rate taxpayer.
    Originally posted by Tom99
    Although be aware that if you do this the beneficiaries can no longer make use of a Help to Buy ISA, as they will now have had an interest in a property. It might not be a deal breaker but it's worth noting. Presumably it would also affect the use of a LISA on buying a property too, but I don't know for sure.
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