We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
IHT 403 -gifts and expenditure


Hi,
My mother passed away recently and I'm working
my way through the HMRC forms and have now reached the Gifts section of IHT403.
I've checked through posts and cannot find the
exact answers to my queries so would appreciate some help. I can complete the
income section fine . It is the expenditure section that is not so clear
1. At the moment my household bills are basically the utilities -gas/electricity/water, which makes 'other' quite large. But the Total expenditure is correct . Is this a problem? What are the guidelines for household bills? My approach maybe basic but saves time on trawling through countless bank statements
2. Nursing Fees - for the last 6 months my mother was in a care home, but for 18 months prior to that she had 3 care visits a day at home. Can the home care be entered in the 'Nursing Fees' section. It would be helpful as it would explain the big increase in outgoings
3. My mother's outgoings were higher than her income so there is an overall deficit. Her bank account was topped up when required by cashing in investments -always taking care to ensure that overall funds were adequate for future care. I cannot see anywhere to explain this. I don't see it as income
Finally, what are people seeing as
the turnaround time after sending in the IHT forms.
Thanks
Comments
-
Initial thoughts:
1 - groceries, clothes, household repairs and maintenance
2 - no expert but would think so
3 - may be a problem as investment income is OK for exemption but not cashing in assets
This assumes IHT403 is actually needed as estate exceeds NRB including that of husband (predeceased her?).0 -
thanks Wayward driver,
2 -i think I'll go with including home care as it seems reasonable
3. at her age why not spend savings. It's done now so I will have to see what happens
Working through the forms and guidelines it seems I need IHT403.
Cheers0 -
If her expenditure was higher than her income then you can’t claim gifts out of expenditure.2
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 351.2K Banking & Borrowing
- 253.2K Reduce Debt & Boost Income
- 453.7K Spending & Discounts
- 244.2K Work, Benefits & Business
- 599.3K Mortgages, Homes & Bills
- 177K Life & Family
- 257.6K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards