Will executor: probate & inheritance tax catch 22

mungbeans

Hello

I'm confused with the process of applying for probate in order to execute a will because2

1) in order to get access to the bank accounts/statements etc. of the deceased its necessary to apply for probate:

2) But the application process for probate says that before the probate can be issued inheritance tax must first be assessed

3) But in order to assess if / how much inheritance tax is applicable its necessary to determine the total value of the deceased estate

4) But in order to do that its necessary to get access to their bank account statements, which can't be done without probate.

So it seems like a Catch 22 situation to me. In order to apply for probate inheritance tax has to be assessed but that can't be done without the probate.

[Deleted User]

There is an excellent forum on probate, in particular the diy thread, which helped me a lot when I applied for probate
http://forums.moneysavingexpert.com/forumdisplay.php?f=217

you will probably get your answers there

dzug1

mungbeans wrote: »

Hello

I'm confused with the process of applying for probate in order to execute a will because2

1) in order to get access to the bank accounts/statements etc. of the deceased its necessary to apply for probate:

.

That isn't - or at least shouldn't - be true. Unless you have a particularly stupid bank.


The executor of the will or the proposed administrator of the estate should be able to get bank statements as at the date of death on production of the death certificate and probably some evidence of identity.


That will give enough information to apply for probate. Once you have probate you can get the actual cash, etc.

nlj1520

I was the executor on my mother's estate and all her bank needed was an (original) death certificate and I had to fill in a form about my identity.
You also have to settle the inheritance tax before probate is granted and some banks are part of a scheme that enables you to use the funds to settle the tax rather than take a loan.
This was some 8 years ago, so things may have changed.

monkeyspanner

As an executor you can access the details of bank balances and historic statements. You normally cannot access directly any remaining funds until probate is granted. In some cases banks will release small balances to the executors prior to probate and will normally pay funeral expenses from the account if requested (exact policies vary from bank to bank and efficiency in this circumstance vary a lot). You will need to produce death certificate, the will (or solicitor certified copy) and your id in order to demonstrate that you are the executor. The accounts will be frozen as soon as the death is notified so any direct debits and standing orders will not be honoured. If the account is joint the bank may be willing just to allow continued use by the other account holder. I have always asked my bank to open a separate excutors current account to receive funds so I can demonstrate a complete separation of the estate finances.