IHT - how are students supposed to pay?

John_Pierpoint

Would someone explain 'nominee account', please.

Someone else is registered as the owner of the shares on behalf of the beneficial owner.
Usually a stock broker:
http://www.fool.co.uk/share-dealing/share-dealing-help/opening-account.aspx

Presumably the nominee will advance the IHT by way of a loan against the security of the shares?
[But how do you prove you are the Executor?]

sdooley

John_Pierpoint wrote: »

how do you prove you are the Executor?

Good point - you can't - before you have the grant of probate. Though if you are acting as an executor you have the legal duties of an executor.

Without seeing a grant of probate, the most a stockbroker will do is forward the proceeds of sale of shares required to meet IHT direct to the Revenue to meet the tax.

Thinking about that maybe whether they can do even that may depend on their mandate - if they don't have the discretion to sell investments without instructions, then maybe all they could do would be to forward any cash balances to the Revenue - much as a bank would do.

monkey_spank

sdooley wrote:

Though if you are acting as an executor you have the legal duties of an executor.

Thanks for that - very helpful. Your law firm must be proud of you. :T

CLAPTON

sdooley wrote: »

Good point - you can't - before you have the grant of probate. Though if you are acting as an executor you have the legal duties of an executor.

Without seeing a grant of probate, the most a stockbroker will do is forward the proceeds of sale of shares required to meet IHT direct to the Revenue to meet the tax.

Thinking about that maybe whether they can do even that may depend on their mandate - if they don't have the discretion to sell investments without instructions, then maybe all they could do would be to forward any cash balances to the Revenue - much as a bank would do.

Just to clarify... a bank will depending upon circumstances, either send money direct to the HMRC or give you a cheque made out to the HMRC.