Inheritance Tax

poseidon1

sgthammer said:

Wind this back a bit for clarity.

Two wills means two estates. The first decessor, your aunt's partner, dies in 2024 leaving some artworks to his family and everything else to your aunt? Is this right? 

– Or were the house and contents split 49/51, giving her a controlling share so that the relatives couldn't sell her home out from under her?

–  Or did your aunt already own 49% of the house and inherit the rest?

This first will may or may not have crossed the IHT threshold if it only accounts for 51% of the property, but anything due should have been settled - or at least identified - at that point.

Your aunt then dies a year later. The paintings should now be ancient history. Did she die owning 100% of the house or only 51%? If the first decessor's family also have a claim on it, then the IHT should be settled by the executors of will#2 before division, and I'm not sure why the executors of the will#1 are still involved at all.

Agree there is a distinct  lack of clarity from the OP, probably related to lack of understanding of the precise details of each will .

Certainly IHT outcome for the Aunt's partner should be done and settled by now, and not impact the outcome for the now deceased Aunt bearing in mind they don't appear to have been married.

For example, he states 51% of property left to Aunt, but experience as shown that due to lack of understanding that could easily mean on life interest for Aunt with remainder elsewhere.

Unless OP can provide redacted precise detailled wording for each of the wills to see exactly what was stated in each, we are likely to go around in circles with different speculative outcomes. 

HannuH

sheramber said:

HannuH said:

itsthelittlethings said:

Who owned the house?

Joint ownership

If joint ownership of the house there is no 51% share to leave. It all automatically goes to the other joint owner. 

To leave a share it must have been tenants in common . Who owned to other 49%?

Her partner who died last year, Its in the will that whoever passed first there family gets 49% and the survivor got 51% so they could stay in the house 

HannuH

sgthammer said:

Wind this back a bit for clarity.

Two wills means two estates. The first decessor, your aunt's partner, dies in 2024 leaving some artworks to his family and everything else to your aunt? Is this right? 

– Or were the house and contents split 49/51, giving her a controlling share so that the relatives couldn't sell her home out from under her?

–  Or did your aunt already own 49% of the house and inherit the rest?

This first will may or may not have crossed the IHT threshold if it only accounts for 51% of the property, but anything due should have been settled - or at least identified - at that point.

Your aunt then dies a year later. The paintings should now be ancient history. Did she die owning 100% of the house or only 51%? If the first decessor's family also have a claim on it, then the IHT should be settled by the executors of will#2 before division, and I'm not sure why the executors of the will#1 are still involved at all.

That sort of makes things a bit more clear. they both owned the house but the survivor got 51% the first to pass 49% so that the famliy of the first deceased coundnt sell the house from under the survivor. Therefore I'm assumung that if my 51% and residual values doesnt hit £325000 I dont pay IHT  right ? 

Also now an issue with some soverigns found in the house, everthing other than the paintings were left to the survivor but now these coins are being questioned and a barrister empolyed to pass comment ?