Probate form IHT205 - What to put in Box J?

AlanFromGuildford

My wife has died and I’m trying to complete form IHT205 to get Probate. It is a simple estate with the house held in trust on her death for the benefit of our children on my death. We are tenants in common in equal shares. The estate has been left to me, with no bequests.

 

Joint bank accounts: £9,000

Her own bank accounts: £123,000

Value of house: £695,000

 

These are my queries about form IHT205.

 

4 - I assume that this is not related to the trust set up on her death?

9.2 - I assume the house is not included here as we were tenants in common?

9.3 - I assume that this is not related to the trust set up on her death?

11.8 - Is this where I put half the value of the property?

Box J - What on earth goes in Box J??

 

Can anyone offer advice, please?

Keep_pedalling

4. You are correct the answer to this is no.

9.2 Your assumption is correct

9.2 again correct

11.8 Yes

J Both the cash going to you and her share of the house are exempt so the whole estate goes here.

AlanFromGuildford

Thanks for this. So in Box J do I also include the value of my wife's car, household and personal effects etc? The reason I have queried what goes in box J is because the house has been placed in trust for our children, and so is not technically being left to me, although I have a life interest in it. Does this affect the situation? 

Keep_pedalling

AlanFromGuildford said:

Thanks for this. So in Box J do I also include the value of my wife's car, household and personal effects etc? The reason I have queried what goes in box J is because the house has been placed in trust for our children, and so is not technically being left to me, although I have a life interest in it. Does this affect the situation? 

Because you have a life interest in the property for IHT purposes it is treated as an outright gift to you.

https://www.jmfinn.com/our-thinking/life-interest-trusts-wills-spouses

If the car and her other chattels have been left to you then it is exempt and goes with everything else in that box.

AlanFromGuildford

You have been so helpful and explained this clearly. Thank you. Can you clarify what 9.3 means - is this anything to do with the lifetime trust set up for me to benefit from continuing to live in the house? If the whole estate goes into box J, is this the figure in box F, G or box H? Sorry to be so dim!!

Keep_pedalling

AlanFromGuildford said:

You have been so helpful and explained this clearly. Thank you. Can you clarify what 9.3 means - is this anything to do with the lifetime trust set up for me to benefit from continuing to live in the house? If the whole estate goes into box J, is this the figure in box F, G or box H? Sorry to be so dim!!

You are not being dim, it is always best to ask if you are unsure. 9.3 does not apply to her. Estate, but would apply to yours.

AlanFromGuildford

What a star!! Thank you. I have one last issue that I cannot get my head around. 

I just need to get this clear in my mind. In the HMRC notes to help you fill in form IHT205 for Box 11.8 it states “If the deceased’s home passes automatically to the surviving joint owner, do not include it here, include the value at box 9.2 instead.” But the notes in IHT205 say that 9.2 is for ‘joint tenants’ while 11.8 is for ‘tenants in common’. Can you clarify this for me - so I properly understand it?