Declaring alot of gifts on IHT403 - not enough space on form. 19 May at 5:35PM in Deaths, Funerals & Probate 8 replies 215 views

itm2

I'm dealing with the estate of my late mother. I the last few years before she died she gave away alot of gifts, usually via cheque, to members of the family. Form IHT403 , which is used to declare gifts, only provides space for about 16 gifts to be entered, but I need to provide details of maybe double that number. The HMRC guide doesn't give any guidance on how to deal with this.
I was wondering if anyone here had been in a similar situation, and if so how they dealt with it?

Linton

What I did was to put a summary on the form and include a separate detailed list. As long as you provide the data HMRC seem happy. It is not a test in form filling.

itm2

Linton said:

What I did was to put a summary on the form and include a separate detailed list. As long as you provide the data HMRC seem happy. It is not a test in form filling.

A separate detailed list sounds like a good solution, but does that mean that the forms could not be submitted online? (as the online form/process does not make provision for this)

Linton

itm2 said:

Linton said:

What I did was to put a summary on the form and include a separate detailed list. As long as you provide the data HMRC seem happy. It is not a test in form filling.

A separate detailed list sounds like a good solution, but does that mean that the forms could not be submitted online? (as the online form/process does not make provision for this)

There was no online facility available at the time. In our case there were 4 gifts per month for most of the full 7 years with sufficient data to show that it could all be matched against income so online submission would have been impractical anyway.  

SeniorSam

Were all the gifts over the allowances that can be given away each tax year, You only need to declare those gifts in the last 7 years, Do check the list 

itm2

The cumulative total of the gifts exceeded the annual gift limit in most years, so I guess I need to declare all of them.

Keep_pedalling

itm2 said:

The cumulative total of the gifts exceeded the annual gift limit in most years, so I guess I need to declare all of them.

If she made lots of small gifts then you don’t need to declare all of them. E.g. if she made 5 gifts of £1000 only two of them need to be declared (the last 2 made). Any gifts to individuals who received £250 or less in total are exempt regardless of how many individuals received such gifts, so they do not need to be declared and the do not use up any of her annual allowance.

Did she have any years where n9 gifts were made? If so that allowance can be carried over to the following year.

itm2

Keep_pedalling said:

itm2 said:

The cumulative total of the gifts exceeded the annual gift limit in most years, so I guess I need to declare all of them.

If she made lots of small gifts then you don’t need to declare all of them. E.g. if she made 5 gifts of £1000 only two of them need to be declared (the last 2 made). Any gifts to individuals who received £250 or less in total are exempt regardless of how many individuals received such gifts, so they do not need to be declared and the do not use up any of her annual allowance.

Did she have any years where n9 gifts were made? If so that allowance can be carried over to the following year.

Ah I wasn't aware that the gift allowance could be carried over if unused. Presumably only one year's allowance can be carried over? (i.e. if there were no gifts for 3 years I cannot carry 3 years allowance over to the 4th year?)

Frogletina

itm2 said:

Keep_pedalling said:

itm2 said:

The cumulative total of the gifts exceeded the annual gift limit in most years, so I guess I need to declare all of them.

If she made lots of small gifts then you don’t need to declare all of them. E.g. if she made 5 gifts of £1000 only two of them need to be declared (the last 2 made). Any gifts to individuals who received £250 or less in total are exempt regardless of how many individuals received such gifts, so they do not need to be declared and the do not use up any of her annual allowance.

Did she have any years where n9 gifts were made? If so that allowance can be carried over to the following year.

Ah I wasn't aware that the gift allowance could be carried over if unused. Presumably only one year's allowance can be carried over? (i.e. if there were no gifts for 3 years I cannot carry 3 years allowance over to the 4th year?)

Only one year's allowance can be carried over