IHT 400 exemptions and reliefs

cheshireperson

Hi . Just checking IHT 400 for the 25th time …. Box 93 on exemptions and reliefs on property - does anybody know if I have to include the Transferable residence nil rate band here please ? Thank you 

probate_slave

No, surely you deduct the RNRB & TRNRB together at box 111 of IHT400 (assuming the simple calculation applies with no need for grossing up etc).

Box 14 of IHT435 prompts you to incorporate the TRNRB from IHT436, so no need to claim it twice.

cheshireperson

Thank you . Also - please forgive my questions !- worked out the is no tax to pay - but I’m confused by the wording on P 12 which says if you want HMRC to work it out tick the box and skip the page . Does this mean I leave the simple inheritance tax calculation ? Thank you again Probate Slave 

probate_slave

I would certainly recommend calculating the tax yourself, if only to confirm the result is zero. It should also allow HMRC to send you the probate code more quickly, since they can check the figures later.

cheshireperson

Ok thank you 😊 I have another question .. there are two executors - me and my sister who has shown no inclination to become involved in probate to help me . In the IHT guidance it says a further declaration must be written “where there is more than one person acting for the estate”. This other declaration says , I confirm that all the people whose names appear on the declaration have seen the IHT account “ Is it sufficient for her just to sign the declaration on  P. 14 or do I have to write this special one out too ?! She’s not acted at all on the estate ! Thank you again 

probate_slave

There are huge advantages to having a single name on the grant when dealing with an estate, so I have always acted alone as administrator. My fellow executors needed little persuasion to reserve power. And reserving power no longer requires a separate form, just a simple written notice from you to your sister and some acknowledgement back, which you confirm when applying for probate.
So I never had to make the statement HMRC asks for on p.59 of the notes. If your sister trusts you and is willing to reserve power as executor, that would be the simplest option. Otherwise, I assume you need her full details on the declaration (including NI number etc) as well as her signature, and maybe print off the statement "As a legal personal representative etc" and insert it somewhere?

cheshireperson

I regret so much when my Dad wrote his will that he put both of us down as executors . You have been so helpful and I’m extremely grateful ! 

probate_slave

But your sister isn't obliged to act as executor. Reserving power is extremely easy for her to do at this point, so long as she hasn't intermeddled in the estate. It only needs her agreement. Proving a will is the kind of job that's much easier to do alone in any case, and I don't see how your father could object to your sister standing down. People have different talents and inclinations.