Apply to postpone payment of Inheritance Tax
What to do if you바카라 사이트™re unable to raise the funds to pay Inheritance Tax.
Finding the money to pay Inheritance Tax
You must pay some or all of the Inheritance Tax before you can get a 바카라 사이트˜grant of representation바카라 사이트™ also known as 바카라 사이트˜probate바카라 사이트™. This is called 바카라 사이트˜confirmation바카라 사이트™ in Scotland.
You must pay Inheritance Tax by the end of the sixth month after the person died. For example, if the person died in January, you must pay Inheritance Tax by 31 July.
You may be able to pay the Inheritance Tax using some of the deceased바카라 사이트™s assets such as:
- bank and building society accounts or National Savings and Investments (NS&I)
- British government stock
- share and investment portfolios
- insurance and investment bonds
Bank and building society accounts or NS&I
Pay some or all of the Inheritance Tax that is due by transferring money from the deceased바카라 사이트™s bank, building society or NS&I accounts directly to HMRC using the Inheritance Tax Direct Payment Scheme.
British government stock
Pay the Inheritance Tax using British government stock.
Share and investment portfolios
Cash funds held within a share or investment portfolio can sometimes be released directly to HMRC to pay the tax. You should contact the stockbroker or fund manager to find out whether they can do this.
Insurance and investment bonds
Some providers of insurance and investment bonds are prepared to release funds directly to HMRC. You should contact the company to find out whether they바카라 사이트™ll do this.
When you can apply for Inheritance Tax to be postponed
If you cannot access the assets in the deceased바카라 사이트™s estate before a grant of probate has been granted, you can ask HMRC to postpone payment of all or some of the tax and interest due until after you바카라 사이트™ve got the grant.
Once the grant has been issued, you will be expected to pay the outstanding tax as soon as possible. This is called a 바카라 사이트˜grant on credit.바카라 사이트™
You can apply to postpone payment of all or some of the tax and interest due if you바카라 사이트™re unable to release funds from the estate.
We may place a 바카라 사이트˜notice of the Inheritance Tax charge바카라 사이트™ against any land or buildings in the estate at the Land Registry. A notice to protect a third-party interest in a registered estate is an entry against the registered title of the property. It does not limit the land or building sales, but buyers may ask for the notice to be removed before finalising the purchase.
How to apply
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If you have not already done so, send a signed and completed Inheritance Tax account form IHT 400 and any supplementary pages or supporting documents to HMRC. If you바카라 사이트™re in Northern Ireland, include Probate Summary form IHT421. If you바카라 사이트™re in Scotland, include Confirmation form C1.
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Write a letter to HMRC providing a statement confirming that you바카라 사이트™re unable to release funds from the estate using the methods described in 바카라 사이트˜finding the money to pay Inheritance Tax바카라 사이트™.
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Tell HMRC in your letter, the maximum amount that you can pay towards the Inheritance Tax. You must do this before the grant can be issued.
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Put 바카라 사이트˜Grants on credit바카라 사이트™ and your Inheritance Tax reference number at the top of your letter.
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You should tell us what steps will be taken to raise the funds to pay the tax if we agree to allow the grant on credit. This should be by the quickest option available.
Send the forms and letter to the following address:
HM Revenue and Customs
Inheritance Tax Team
BX9 1HT
If we agree to postpone the tax
You바카라 사이트™re still expected to pay as much of the Inheritance Tax as you can before HMRC will support an application for grant on credit.
°Â±ð바카라 사이트™l±ô ask you to sign an undertaking. This is a legally binding promise to pay the Inheritance Tax within an agreed timescale. °Â±ð바카라 사이트™l±ô consider each case on its own merits.
If the tax is to be paid following the sale of a property, there must be an accepted offer and an estimated date for exchange of contracts. We cannot issue an open-ended undertaking without a clear date of when the tax will be paid.
Interest charges
°Â±ð바카라 사이트™l±ô  if you do not pay all of the Inheritance Tax by the due date.