Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

Search
  • FIRST POST
    • Hew
    • By Hew 16th Jan 20, 1:11 PM
    • 50Posts
    • 3Thanks
    Hew
    Shares value for probate form
    • #1
    • 16th Jan 20, 1:11 PM
    Shares value for probate form 16th Jan 20 at 1:11 PM
    I'm currently completing probate forms for my late brother who was a director of a small private limited company. I need to find out what the company shares are worth but dont know how this is calculated, would it be the net book value?
    Thanks in advance.
Page 1
    • xylophone
    • By xylophone 16th Jan 20, 9:03 PM
    • 32,067 Posts
    • 19,925 Thanks
    xylophone
    • #2
    • 16th Jan 20, 9:03 PM
    • #2
    • 16th Jan 20, 9:03 PM
    https://www.litrg.org.uk/tax-guides/bereavement/how-do-i-assess-estate-inheritance-tax-purposes

    If the deceased had shares in a private company, the shares will not be listed on a recognised stock exchange. There is no open market for private company shares. You will need to contact the company secretary of the private company or the accountant to obtain a valuation for the shares.

    There is more information on how to value stocks and shares for IHT in the 'Guide to completing your Inheritance Tax account (IHT400 notes)' on GOV.UK.


    https://library.croneri.co.uk/cch_uk/etc/17010

    There is this but dated five years ago

    http://www.sundialtax.com/blog/news/capital-taxes-private-company-shares/
    • Hew
    • By Hew 17th Jan 20, 7:20 AM
    • 50 Posts
    • 3 Thanks
    Hew
    • #3
    • 17th Jan 20, 7:20 AM
    • #3
    • 17th Jan 20, 7:20 AM
    Thank you xylophone. I've finally made contact with the company accountant yesterday afternoon who may be able to help. I would have been in touch sooner but my brothers partner has been difficult to contact and not forthcoming with any information.
    • getmore4less
    • By getmore4less 17th Jan 20, 9:30 AM
    • 38,449 Posts
    • 23,886 Thanks
    getmore4less
    • #4
    • 17th Jan 20, 9:30 AM
    • #4
    • 17th Jan 20, 9:30 AM
    IHT manual is the most upto date place for guidance on anything IHT.

    https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual/ihtm18000
    https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual/ihtm18131

    Which refers to

    http://www.legislation.gov.uk/ukpga/1984/51/section/168

    It also referes to the
    HMRC team that deals with this sort of thing
    https://www.gov.uk/guidance/shares-and-assets-valuations-for-tax
    which have their own manual.
    https://www.gov.uk/hmrc-internal-manuals/shares-and-assets-valuation-manual

    I had a quick look and it does cover some aspect but did not see anything useful to help with valuation.
    • Hew
    • By Hew 18th Jan 20, 10:36 AM
    • 50 Posts
    • 3 Thanks
    Hew
    • #5
    • 18th Jan 20, 10:36 AM
    • #5
    • 18th Jan 20, 10:36 AM
    Thank you getmore4less, this should certainly help.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

3,131Posts Today

6,269Users online

Martin's Twitter