Inheritance Tax Checker (ITC) before Probate Application

vanessahw

Hi all
I am trying to complete the ITC prior to applying for Probate for my late father.
I have a list of all his assets - all of which have been left to my Mother save for my Fathers share of the marital property which he left to my brother and myself.
My Father had a private pension pot to drawn down a monthly pension - this has been left to my Mother.
However, I am not sure in which section on the ITC to put this - I don't think it is 
Money in a bank, cash ISA, or cash in the home (as asked in Q4)
Nor household, personal items and motor vehicles  (as asked in Q5)
Nor UK stocks and shares ( as asked in Q6).  
Q7 asks the value of assets held in trust that they were able to benefit from - does this include pensions or not - if not then,
Q9 asks the value of other assets they owned - does this include the pension
Or is the pension covered in Q4 or Q6 and needs to be added to those totals 
TIA for any respinses 

RAS

Where is it intended that your mother live if the house has been left to you and your brother? 

If she is granted the right to live there until her death, remarriage, sale of the property etc, this is likely to be an Immediate Post Death Interest trust.

In which case there is no IHT to pay, it prevents you and your brother from incurring CGT liabilities on sale and secures your father's portion of the house for you both if your mother remarries. And ensures you can use your father's residential IHT allowance when your mother dies, if required.

The trust needs registering with HMRC promptly and they issue fines if it's not done. 

So can you quote exactly what the clause in your father's will says, redacting names, so people can advise you?

Keep_pedalling

The pension almost certainly falls outside of his estate.

As the above post if your mother has been left a life interest in his share of the home it is still covered by spousal exemption which means the entire estate is an exempt one. If you and your sibling have been left his share of the house absolutely than I would seriously consider a deed of variation to correct that as it is not the most tax effective way to do it, and am immediate post death interest trust gives your mother more security as well.