R27 Tax Form and ISAs

Mikeyorks

Cossack wrote: »

I asked all the building societies concerned to send me accounts of tax gained on the ISAs up until the date of my mothers death (they may be a couple of days out, but in general the amounts they gave me were up until that date) - so whatever I put on the R27 is my mothers tax.

Not sure I understand. If there is only interest - but no tax deducted - ISAs don't go on the R27. At all.

But you should check that any taxed interest - does not relate to interest accrued to the date of death. If it does then apportion it - as my previous post.

I understand that the accounts now go into a "dormant" stage until I get probate so any further tax accrued will be minimal, but easily identifiable as being "my" tax

Yes. In essence the ISAs no longer exist as they became straight forward taxable accounts from the date of death. You need Probate to liquidate them - but any interest is the property of the Estate.

suso

chrismac1 wrote: »

No. ISAs are excluded completely. Note that the R27 is in essence a "normal tax return" except the person concerned is now dead, as opposed to living. You must have spoken to a numptie.

The original poster said they couldn't get through and had not spoke to anybody.

So for the 3rd year running, and they get to keep the numptie of the year award it is CHRISMAC1 (applause)

They keep the award for ever and can put it on their shelf along with all their tribunal victories

all hail king numptie

antonic

Thats why Chrismac 1 never lets the facts get in the way off a good rant.

suso wrote: »

The original poster said they couldn't get through and had not spoke to anybody.

So for the 3rd year running, and they get to keep the numptie of the year award it is CHRISMAC1 (applause)

They keep the award for ever and can put it on their shelf along with all their tribunal victories

all hail king numptie

John_Pierpoint

Cossack wrote: »

I asked all the building societies concerned to send me accounts of tax gained on the ISAs up until the date of my mothers death (they may be a couple of days out, but in general the amounts they gave me were up until that date) - so whatever I put on the R27 is my mothers tax. I understand that the accounts now go into a "dormant" stage until I get probate so any further tax accrued will be minimal, but easily identifiable as being "my" tax.

Technically speaking it is the tax of the trust that is administering the estate. That trust will get its trustee to send you an R185 explaining what your tax is for the year in which it sends you the payment(s).

There can be some small advantage in a beneficiary and a trustee timing the payment, for example when a beneficiary is just about to retire and stop being a higher rate tax payer.
Similarly there can be problems if the trustee cannot pay out promptly annually and a large sum of interest bunches into the eventual pay out.