We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
IHT35 and deceased brother's Stocks & Shares ISA - Corona crash sell & buy back claiming relief
Pangolin76
Posts: 16 Forumite
in Cutting tax
Hi
I think I can probably guess the answer but thought I'd ask the collective wisdom.
My brother passed away last month and I am busy completing the IHT400 for inheritance tax. My brother had a six figure sum saved in a stocks & shares ISA with Fidelity, he was invested in a number of managed funds not direct company shares. There are no other family members just me. The ISA was valued pre-Corona stockmarket crash on the date he died. Assuming the market is still severely depressed when probate is granted, is it possible to sell the funds in his ISA, keeping the money as cash in the ISA, claim the loss against the inheritance tax paid (which will be 6 figures) and then buy the funds back? I've read through IHT35 and accompanying notes IHT34011 & IHT34138 but can't quite get a yes or no. I'm aware if you buy back shares the purchase has to be declared so i'm assuming when I buy back the funds the cost is relative to what they were sold for ie they haven't increased in value. Pretty sure HMRC will have closed this route but thought I'd ask.
I think I can probably guess the answer but thought I'd ask the collective wisdom.
My brother passed away last month and I am busy completing the IHT400 for inheritance tax. My brother had a six figure sum saved in a stocks & shares ISA with Fidelity, he was invested in a number of managed funds not direct company shares. There are no other family members just me. The ISA was valued pre-Corona stockmarket crash on the date he died. Assuming the market is still severely depressed when probate is granted, is it possible to sell the funds in his ISA, keeping the money as cash in the ISA, claim the loss against the inheritance tax paid (which will be 6 figures) and then buy the funds back? I've read through IHT35 and accompanying notes IHT34011 & IHT34138 but can't quite get a yes or no. I'm aware if you buy back shares the purchase has to be declared so i'm assuming when I buy back the funds the cost is relative to what they were sold for ie they haven't increased in value. Pretty sure HMRC will have closed this route but thought I'd ask.
0
This discussion has been closed.
Categories
- All Categories
- 347.2K Banking & Borrowing
- 251.6K Reduce Debt & Boost Income
- 451.8K Spending & Discounts
- 239.4K Work, Benefits & Business
- 615.3K Mortgages, Homes & Bills
- 175.1K Life & Family
- 252.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 15.1K Coronavirus Support Boards