How does probate formally end?

jessthecat_2

Hi
I'm sure this has been asked loads of times before, but the Search function doesn't return anything similar and the govt website couldn't be less helpful!

How does probate formally end?

When we applied, we estimated Dad's account balances from any recent statement we could find. Because we didn't have probate at that stage, the banks wouldn't give us specific figures.

Will we need to fill in a form with the final figures, even though it makes no difference to the outcome? (ie. still no IHT to pay)

We're keeping Dad's house, rather than selling it. It's currently on zero council tax while it's within the probate period. Does the house becomes "ours" from probate being granted, or from the Land Registry completing the transfer into our names, or from some formal ending of the probate period? Do we need to submit agents' valuations as a matter of course, or only if there's a challenge to the value we stated on the IHT forms as part of the probate application? (Based on one agent's written valuation that no-one has yet asked to see).

Do we get something from the govt signing off our efforts (we're not using solicitors) and stating the process is all over, or do we just do our best then get on with our life? 

You'd think there'd be a specific set of instructions, but damned if I can find them! 

Thanks

p00hsticks

The banks really ought to have given the executors the amounts in the various accounts as at the date of death - as you say, the executors need these figures in order to be able to accurately complete the probate forms. When I notified the building society of my dads death and showed them my ID and a copy of the will to prove I was executor, they wrote me a letter telling me exactly how much was in each account, even though they won't actually release the funds until i get probate. 

My understanding is that the issue of the grant of probate is effectively the 'signing off' - any queries that arose with your application would be dealt with before the grant is made. 

Is anyone living in the house at the moment ? The Class F council tax exemption you mentino only applies of the house remains unoccupied. 

Marcon

jessthecat_2 said:

Hi
I'm sure this has been asked loads of times before, but the Search function doesn't return anything similar and the govt website couldn't be less helpful!

How does probate formally end?

When we applied, we estimated Dad's account balances from any recent statement we could find. Because we didn't have probate at that stage, the banks wouldn't give us specific figures.

Will we need to fill in a form with the final figures, even though it makes no difference to the outcome? (ie. still no IHT to pay)

We're keeping Dad's house, rather than selling it. It's currently on zero council tax while it's within the probate period. Does the house becomes "ours" from probate being granted, or from the Land Registry completing the transfer into our names, or from some formal ending of the probate period? Do we need to submit agents' valuations as a matter of course, or only if there's a challenge to the value we stated on the IHT forms as part of the probate application? (Based on one agent's written valuation that no-one has yet asked to see).

Do we get something from the govt signing off our efforts (we're not using solicitors) and stating the process is all over, or do we just do our best then get on with our life? 

You'd think there'd be a specific set of instructions, but damned if I can find them! 

Thanks

Nothing specific - not even a cake with candles! Probate ends once all taxes (if any) and debts (if any) have been paid and all legacies/bequests passed on to beneficiaries.

jessthecat_2

p00hsticks said:

The banks really ought to have given the executors the amounts in the various accounts as at the date of death - as you say, the executors need these figures in order to be able to accurately complete the probate forms. When I notified the building society of my dads death and showed them my ID and a copy of the will to prove I was executor, they wrote me a letter telling me exactly how much was in each account, even though they won't actually release the funds until i get probate. 

My understanding is that the issue of the grant of probate is effectively the 'signing off' - any queries that arose with your application would be dealt with before the grant is made. 

Is anyone living in the house at the moment ? The Class F council tax exemption you mentino only applies of the house remains unoccupied. 

When we were in possession of the will, we weren't executors (the named ones were deceased). We had to send in the will in order to apply to become administrators. 

So we don't have to submit final figures? As long as we keep records that show there was no IHT due, that's the end of the form filling?

We were wondering whether to get one or two more valuations of the house - but as probate has been granted, does that mean the value we submitted has been accepted, or can it be questioned later? 

The house is unoccupied while we decide what to do with it. We're in no hurry to sell up. I understand if we immediately sold it for much more than the agent's valuation, that could lead to a query... but that isn't going to happen.

RAS

If there is an increase in value of the house between death and sale, then you need to pay CGT within 60 days of the sale. Whether it's sold out of the estate, or by the "new" owners. There is currently a £3000 disregard.

Do all of the beneficiaries own their own houses? If not, transferring it to them before sale means they lose their first time buyer benefits.

poseidon1

jessthecat_2 said:

Hi
I'm sure this has been asked loads of times before, but the Search function doesn't return anything similar and the govt website couldn't be less helpful!

How does probate formally end?

When we applied, we estimated Dad's account balances from any recent statement we could find. Because we didn't have probate at that stage, the banks wouldn't give us specific figures.

Will we need to fill in a form with the final figures, even though it makes no difference to the outcome? (ie. still no IHT to pay)

We're keeping Dad's house, rather than selling it. It's currently on zero council tax while it's within the probate period. Does the house becomes "ours" from probate being granted, or from the Land Registry completing the transfer into our names, or from some formal ending of the probate period? Do we need to submit agents' valuations as a matter of course, or only if there's a challenge to the value we stated on the IHT forms as part of the probate application? (Based on one agent's written valuation that no-one has yet asked to see).

Do we get something from the govt signing off our efforts (we're not using solicitors) and stating the process is all over, or do we just do our best then get on with our life? 

You'd think there'd be a specific set of instructions, but damned if I can find them! 

Thanks

There is a formal procedure to get clearance on IHT matters it is called form IHT 30 clearance certificate. Complete this, submit to HMRC and as far as IHT  is concern you are good to go on that front.
 However in completing that form, it would make sense to include all the amendments to the estate position you initially reported for probate purposes, and for which you now have accurate numbers.  In signing off on IHT 30 declaration, you are stating you have reported all relevant information pertaining to IHT. 

However, this does not mean you have completed the administration of the estate itself as pointed out by Macron above. You will have merely drawn a line under the IHT aspect.

Browntoa

Theres a remote chance that the probate office could ask for the final breakdown of the estate but that's very unlikely to occur unless someone makes a challenge 

Flugelhorn

Browntoa said:

Theres a remote chance that the probate office could ask for the final breakdown of the estate but that's very unlikely to occur unless someone makes a challenge 

that's it basically - they give the grant of probate and you get on with it, felt odd not having to report back as to what you have done but no-one wants to know. 
Just watch the council tax, any exemptions don't last long 

jessthecat_2

they give the grant of probate and you get on with it, felt odd not having to report back as to what you have done but no-one wants to know. 

Exactly this. They want to know absolutely everything, provisionally, then they don't care what happens after that. I was certain I missing something obvious!