IHT405 Question 11F

TcpnT

I've come across a few posts on this subject but I still can't work out whether to fill in this box and if I do what effect it might have.

Estate is around £900k with full £1M IHT allowance available - so no IHT to pay. The house is valued at around £575k and will be put on the market as soon as probate is granted.

I have entered "will be sold later" for Q11B and I have left C,D and E blank but I'm struggling with 11F "Do you want to use the sale price as the value at the date of death".

The first question is whether it is even allowable to answer yes if the house has not yet been sold? Or can the answer be yes and apply to a future sale price not yet achieved?

Secondly if you did answer yes in this situation how would HMRC know about the price eventually received and if they did know how would they use it.

Thirdly if there is no IHT payable is the question even relevant?

Fourthly if you answer yes and the sale price is above the date of death valuation declared earlier in the form does this avoid CGT becoming payable on the difference.

Thanks