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IHT & split Land Registry
Big_Dipper
Posts: 13 Forumite
Hi - a question around IHT and split Land Registry ownership.
My brother passed away intestate and so all his assets were passed on to my Mum (Dad passed away 5 years earlier). We paid what IHT we thought was due, which was approved by HMRC.
My Mum passed away 7 years later. IHT due was then paid in line with HMRC regulations.
NEW NEWS - as we were in process of selling my Mums house, we discovered that my Mums house was in both her name AND my late brothers. Land Registry had been split months after my dad passed, and 5 years before my brother died.
The question is - is there any change in the IHT submission we have made now that we have discovered the split land registry?
Any help / guidance would be gratefully received.
thanks.
My brother passed away intestate and so all his assets were passed on to my Mum (Dad passed away 5 years earlier). We paid what IHT we thought was due, which was approved by HMRC.
My Mum passed away 7 years later. IHT due was then paid in line with HMRC regulations.
NEW NEWS - as we were in process of selling my Mums house, we discovered that my Mums house was in both her name AND my late brothers. Land Registry had been split months after my dad passed, and 5 years before my brother died.
The question is - is there any change in the IHT submission we have made now that we have discovered the split land registry?
Any help / guidance would be gratefully received.
thanks.
0
Comments
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It sounds as if the IHT calculations need to be reviewed for your dad and your brother. Not a DIY job, You need to get some specialist to advise and if need be negotiate with HMR&C.Big_Dipper wrote: »Hi - a question around IHT and split Land Registry ownership.
My brother passed away intestate and so all his assets were passed on to my Mum (Dad passed away 5 years earlier). We paid what IHT we thought was due, which was approved by HMRC.
My Mum passed away 7 years later. IHT due was then paid in line with HMRC regulations.
NEW NEWS - as we were in process of selling my Mums house, we discovered that my Mums house was in both her name AND my late brothers. Land Registry had been split months after my dad passed, and 5 years before my brother died.
The question is - is there any change in the IHT submission we have made now that we have discovered the split land registry?
Any help / guidance would be gratefully received.
thanks.0 -
Yorkshireman99 wrote: »It sounds as if the IHT calculations need to be reviewed for your dad and your brother. Not a DIY job, You need to get some specialist to advise and if need be negotiate with HMR&C.
Whether the OPs fathers estate needs reviewing will depend on whether the house was split by his will or was gifted by his widow.
If the former, then this affects the transferable nil rate band to the mother in which case more IHT is due from her estate.
The whole thing is horribly complicated, so I agree some professional help required.0 -
[FONT=Verdana, sans-serif]I agree you need professional help with all three IHT calculations.[/FONT]
[FONT=Verdana, sans-serif]Before that I would start with your own investigation of your brother's part ownership of your mother's house and as KP says, how it came about.[/FONT]
[FONT=Verdana, sans-serif]See if probate was granted for your father, if it was then you can obtain a copy of his will, if any. [/FONT]
[FONT=Verdana, sans-serif]Exactly how long before your mother died was the house transferred to your brother? You mention your mother died 7yrs later (7 yrs after your father or your brother?). If this was a gift from your mother then +/- 7yrs may make a big difference to the IHT bill.[/FONT]0 -
Given the brothers ownership happened around the time of your dads death there is a chance it was in the will(or done by DOV) or maybe as a gift from mum.
It really depends on how the ownership came about and IF there was a life interest for your mum.
depending when these deaths happened there have been some changes to the way interest in possession work around 2006.
IF there was a life interest trust you also need to see if there were further remaindermen on that after your brother, to see where his share goes.
This needs tracing forward from the dads death.
Who administered dads estate and your brother estate, there should be record of what happened and how the IHT was calculated in the estate accounts.
Pull together all the records so you can retrace the steps, it might be that it has all been done correctly and they just did not bother taking your brothers name off the Land reg when he died.0 -
Keep_pedalling wrote: »Whether the OPs fathers estate needs reviewing will depend on whether the house was split by his will or was gifted by his widow.
If the former, then this affects the transferable nil rate band to the mother in which case more IHT is due from her estate.
The whole thing is horribly complicated, so I agree some professional help required.
The house was NOT split in my Fathers will. The Land Registry took place in Dec 05. My father passed away in Feb 05.0 -
Big_Dipper wrote: »The house was NOT split in my Fathers will. The Land Registry took place in Dec 05. My father passed away in Feb 05.
There could still have been a DOV.
Who administered your fathers estate and your brothers estate?0 -
[FONT=Verdana, sans-serif]I agree you need professional help with all three IHT calculations.[/FONT]
[FONT=Verdana, sans-serif]Before that I would start with your own investigation of your brother's part ownership of your mother's house and as KP says, how it came about.[/FONT]
[FONT=Verdana, sans-serif]See if probate was granted for your father, if it was then you can obtain a copy of his will, if any. [/FONT]
[FONT=Verdana, sans-serif]Exactly how long before your mother died was the house transferred to your brother? You mention your mother died 7yrs later (7 yrs after your father or your brother?). If this was a gift from your mother then +/- 7yrs may make a big difference to the IHT bill.[/FONT]
House was transferred Dec ‘05. Mum died Nov ‘17. So 11yrs 11 months. My Mum died 7 yrs exactly after my brother (Nov ‘10).0 -
getmore4less wrote: »There could still have been a DOV.
Who administered your fathers estate and your brothers estate?
My late brother was the Executor of my Dads Estate. (Is that what you meant?). I have not seen a DOV in any of the documents we have.0 -
What did dad's will say?0
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getmore4less wrote: »What did dad's will say?
Everything passed to Mum. No mention of changing Land Registry details.0
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