Who is responsible for the deceased's tax bill?

ljaneyr

I'm not sure if this is the right area but please point me in the right direction if it is not.

My father-in-law died very suddenly.

He was self-employed and the family has now received his tax bill which has to be paid by the end of January.

My question is, who is responsible for paying this bill? Everything I have read says 'the estate' but he had no cash or savings.

Can anyone tell me where to find out what to do? Also, she will presumably get another bill next year for the current years earnings.

Thank you

RAS

Did he own a house or any other property?

Marktheshark

You write I SAID WRITE to the Inland Revenue by certified or recorded post and return the demand they sent.

Put on the accompanier letter : Please forward any claim to the administrator or executor of the estate of the deceased mr XXXXX
You can find this information by researching the London gazette.
You must not and shall not harass the relatives of the deceased, to do so is a criminal offence and the officer doing so will be committing misconduct in public office.
You shall make any enquiries to any claim you may believe to hold in accordance with the Trustee Act 1925, you must and shall not harass relatives of the deceased at a time of grieving.
No relatives of the deceased MR XXXX will be paying any monies on behalf of the deceased and you shall refer any demand to the executors or administrators of the estate.

COPY TO MP (Mp for local area)

As to if anything has to be paid will depend on if any property or assets were jointly owned and how.
Until the estate is administered and if they are no joint assets then it does not have to be, they can go whistle.

Yorkshireman99

ljaneyr wrote: »

I'm not sure if this is the right area but please point me in the right direction if it is not.

My father-in-law died very suddenly and unexpectedly last year. When he died he had a little bit of money in his bank account which his wife put towards the funeral.

He was self-employed and she has now received his tax bill which has to be paid by the end of January. She is completely unable to pay this amount and asked us to lend it to her.

My question is, who is responsible for paying this bill? Everything I have read says 'the estate' but he had no cash or savings.

Can anyone tell me where to find out what to do? Of course we will give her the money if needed, although it is quite a lot, but as it was his debt I'm not certain this is right. Also, she will presumably get another bill next year for the current years earnings.

Thank you

She is not liable for the debt. This is due from the estate. It may mean the estate is insolvent. She should not pay the bill unless there is a property involved that might be subject to a claim. Can you give more details?

k3lvc

Marktheshark wrote: »

You write I SAID WRITE to the Inland Revenue by certified or recorded post and return the demand they sent.

Put on the accompanier letter : Please forward any claim to the administrator or executor of the estate of the deceased mr XXXXX
You can find this information by researching the London gazette.
You must not and shall not harass the relatives of the deceased, to do so is a criminal offence and the officer doing so will be committing misconduct in public office.
You shall make any enquiries to any claim you may believe to hold in accordance with the Trustee Act 1925, you must and shall not harass relatives of the deceased at a time of grieving.
No relatives of the deceased MR XXXX will be paying any monies on behalf of the deceased and you shall refer any demand to the executors or administrators of the estate.

COPY TO MP (Mp for local area)

As to if anything has to be paid will depend on if any property or assets were jointly owned and how.
Until the estate is administered and if they are no joint assets then it does not have to be, they can go whistle.

A bit OTT for the enquiry that was posted :rotfl:

ljaneyr

Thanks for your replies. They own a house which is mortgaged and also have a business of a couple of properties that they rent out.

I have no experience in this area and don't really understand the idea of 'the estate'. He also left no will...

RAS

One further question about the properties - was they owned as joint tenancy or tenants in common? if you do not know, check the Land Registry documents.

Without a will he is intestate. Depending on the previous answer, there may be a need to adminster the estate, or not.

wwl

Write to HMRC telling them about the situation and request they defer the demand until things are sorted out.
Go see your accountant ASAP to determine what the situation is re. businesses.

ljaneyr

The properties were owned jointly with my husband.

It's so difficult to sort out as they don't really understand the finances anyway.

I will try to find out what the accountant has advised. Thanks for your help

Keep_pedalling

What happened to the profits and assets of the business? Seems odd that someone running up a large tax bill has left nothing behind.

ljaneyr

The business only just covers the outgoings.

They can pay the business tax bill but not his personal tax.