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IHT400 - what do I do next?
I sent IHT400, schedules and valuations to HMRC last week but I'm unclear what else I can do at this stage. There will be inheritance tax to pay which will be paid in full using the direct payment scheme, so IHT423 has been sent to the bank involved.
The HMRC guide refers me to the application of grant in England, which in turn states that I cannot apply for probate until I have a notice from HMRC.
I've seen other forum posts indicating those who have sent IHT421 at the same time as IHT400 and applying for probate at the same time also - however the guide only references completion of IHT421 under the section for Northern Ireland. The probate application requests information from boxes on IHT421, so I'm a bit confused!
Should I expect to receive something from HMRC indicating that I can now make the probate application, and is IHT421 something I should be completing or waiting for from HMRC?
I'm aware HMRC might want to undertake compliance checks, and that this can prove lengthy, I'm just trying to get a sense as to when it would be appropriate to instruct agents to market my father's house, mindful probate will be needed in order to complete.
Any help gratefully received!
Comments
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https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/888992/IHT421_05_20.pdf
The action you take depends where you’re taking out the grant:
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in England and Wales, leave the box above blank – send
this form with your form IHT400, ‘Inheritance Tax account’ to HMRC Inheritance Tax (we’ll send it directly to
HMCTS Probate)
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There will be inheritance tax to pay which will be paid in full using the direct payment scheme, so IHT423 has been sent to the bank involved.
Then you have your HMRC IHT reference?
You can make the application for probate but it will not be processed until HMRC have advised the Probate Registry that the IHT you have calculated has been paid. They do this by sending the stamped 421 to the Probate Registry.
Relative who dealt with obtaining probate last year received a letter from HMRC stating that the payments made via 423 route had been received and that they were sending the 421 to the probate registry so that the Grant could be issued. The letter went on to say that the IHT 400 would be looked at in more detail.
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I'm just trying to get a sense as to when it would be appropriate to instruct agents to market my father's house, mindful probate will be needed in order to complete.
You need to get your application for probate submitted.
Getting the Grant can take several weeks.
You can instruct agents but will need to make it clear that you are awaiting a Grant.
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That bit in the guide also confused me. I ignored it because it referred only to N Ireland then when I came to do the probate application it asked for the information from IHT421.ccm34 said:
The HMRC guide refers me to the application of grant in England, which in turn states that I cannot apply for probate until I have a notice from HMRC.
I've seen other forum posts indicating those who have sent IHT421 at the same time as IHT400 and applying for probate at the same time also - however the guide only references completion of IHT421 under the section for Northern Ireland. The probate application requests information from boxes on IHT421, so I'm a bit confused!
In the end I filled in a IHT421 and sent it with the IHT400 and other schedules. I think there is a problem with the guidance notes as the actual IHT421 does mention England and Wales as per @xylophone post. Luckily I’d not sent the tax forms off so was able to add it. Still hoping I did right!
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That's helpful to know that HMRC looking at the 400 in more detail doesn't prevent them sending the 421 to the probate registry.
Yes I have the IHT reference. It sounds as though I should send the IHT 421 to HMRC and make the probate application.
Thank you very much for your help.
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