IHT 205 (2011)

Just_caring

Rather late but I’m starting to complete a IHT 205 (2011) for someone that passed away in Sept 2020, they had a terminal illness and took there small private pension as a tax free lump sum 2 months before they died, I’m looking at question 8 about disposing of pensions and confusing myself as I’m presuming the monies from the pension will be included in cash assets held? 

Also I’m hoping I can do an IHT205 as they were tenants in common and the deceased left his share of the house to his son as a Life Interest and every thing else to his wife so she will continue to live in the house. 

There won’t be any IHT to pay and am I reading it correctly that you only have to fit one of the criteria below for it to be an excepted estate. 

If the person died on or before 31 December 2021

An estate is usually an excepted estate if any of the following apply:

• its value is below the Inheritance Tax threshold at the time the person died
• the deceased left everything to a surviving spouse or civil partner living in the UK or to a qualifying charity and the estate is worth less than £1 million (search the charity register for registered UK charities)
• the deceased was living permanently outside the UK (a ‘foreign domiciliary’) when they died and the value of their UK assets is under £150,000

Keep_pedalling

Did the deceased have assets that require probate to bee released? Is this your husbands estate?

Just_caring

Probate hasn’t been done yet and all the estate sorted except as mentioned above and land registry being updated. Yes it is my husbands estate.

poppystar

Just_caring said:

Probate hasn’t been done yet and all the estate sorted except as mentioned above and land registry being updated. Yes it is my husbands estate.

It’s not clear why you need probate. Are there still funds you can’t access without it? AIUI updates to Land Registry wouldn’t require probate. 

Just_caring

poppystar said:

Just_caring said:

Probate hasn’t been done yet and all the estate sorted except as mentioned above and land registry being updated. Yes it is my husbands estate.

It’s not clear why you need probate. Are there still funds you can’t access without it? AIUI updates to Land Registry wouldn’t require probate. 

No all funds have been accessed I’ve been told by a financial advisor I need to get probate, so you think I just need to update Land registry & complete IHT form 205? 

Keep_pedalling

Just_caring said:

poppystar said:

Just_caring said:

Probate hasn’t been done yet and all the estate sorted except as mentioned above and land registry being updated. Yes it is my husbands estate.

It’s not clear why you need probate. Are there still funds you can’t access without it? AIUI updates to Land Registry wouldn’t require probate. 

No all funds have been accessed I’ve been told by a financial advisor I need to get probate, so you think I just need to update Land registry & complete IHT form 205? 

In a previous post you said you were left a life interest in his share of your home, which means that it is subject to spousal exemption and the whole value will form part of your estate. You do not need probate for the house, and as you have already liquidated all his other sole assets without probate it is obvious you don’t need it at all so I don’t understand why this FA is saying you do.

You also do not need to file a IHT return so a IHT205 is not required. It is not even necessary to update the land registry at this stage. 

poppystar

I hope the FA is better with his financial advice as he seems to be confused over probate and IHT.

Just_caring

Keep_pedalling said:

Just_caring said:

poppystar said:

Just_caring said:

Probate hasn’t been done yet and all the estate sorted except as mentioned above and land registry being updated. Yes it is my husbands estate.

It’s not clear why you need probate. Are there still funds you can’t access without it? AIUI updates to Land Registry wouldn’t require probate. 

No all funds have been accessed I’ve been told by a financial advisor I need to get probate, so you think I just need to update Land registry & complete IHT form 205? 

In a previous post you said you were left a life interest in his share of your home, which means that it is subject to spousal exemption and the whole value will form part of your estate. You do not need probate for the house, and as you have already liquidated all his other sole assets without probate it is obvious you don’t need it at all so I don’t understand why this FA is saying you do.

You also do not need to file a IHT return so a IHT205 is not required. It is not even necessary to update the land registry at this stage. 

The Also I’m hoping I can do an IHT205 as they were tenants in common and the deceased left his share of the house to his son as a Life Interest and every thing else to his wife so she will continue to live in the house. 

The life interest was left to his son not me.

Keep_pedalling

Just_caring said:

Keep_pedalling said:

Just_caring said:

poppystar said:

Just_caring said:

Probate hasn’t been done yet and all the estate sorted except as mentioned above and land registry being updated. Yes it is my husbands estate.

It’s not clear why you need probate. Are there still funds you can’t access without it? AIUI updates to Land Registry wouldn’t require probate. 

No all funds have been accessed I’ve been told by a financial advisor I need to get probate, so you think I just need to update Land registry & complete IHT form 205? 

In a previous post you said you were left a life interest in his share of your home, which means that it is subject to spousal exemption and the whole value will form part of your estate. You do not need probate for the house, and as you have already liquidated all his other sole assets without probate it is obvious you don’t need it at all so I don’t understand why this FA is saying you do.

You also do not need to file a IHT return so a IHT205 is not required. It is not even necessary to update the land registry at this stage. 

The Also I’m hoping I can do an IHT205 as they were tenants in common and the deceased left his share of the house to his son as a Life Interest and every thing else to his wife so she will continue to live in the house. 

The life interest was left to his son not me.

That does not make sense, so I think you have misunderstood the clause in the will. You don’t leave your share of a house to the same person as you give the life interest to. Normally you leave the house to your children with a life interest to your spouse. 

Redacting the names what does his will actually say regarding the house bequest?