IHT which date is critical; of death or probate

Which date is key for IHT date of death or probate

Didn't find your answer?

Is it the date of death or date of probate that determines the rates and allowances for IHT?

A client has a mother who has just died (father died some time ago and used up his IHT setting up a discretionary trust); given that Probate can sometimes take quite a long time to finalise the client has asked what might happen if there was a change of government to Labour before probate was granted and Labour then decided to reverse the recent increased allowances for IHT. Would it be the rules in operation at date of Probate that determined the tax payable or the rules at the date of death?

Replies (8)

Please login or register to join the discussion.

RLI
By lionofludesch
20th Aug 2018 17:53

I vote Death.

Thanks (0)
Replying to lionofludesch:
Red Leader
By Red Leader
20th Aug 2018 19:53

I vote in favour of death as well. Long live death.

Thanks (0)
By penelope pitstop
20th Aug 2018 18:10

Cannot see IHT rules being changed and backdated.

Thanks (0)
avatar
By anneaccountant
20th Aug 2018 20:35

I must admit my gut feeling was in favour of death too .. just wanted to check.

Thanks (0)
Northumberland flag
By MJShone
21st Aug 2018 08:41

It is death, without any shadow of a doubt.

Thanks (0)
avatar
By bernard michael
21st Aug 2018 09:44

No death = no IHT Probate sets the values of the applicable estate

Thanks (0)
avatar
By Tax Dragon
21st Aug 2018 09:57

Death also determines the date by which IHT is payable. If Probate is going to wait until we have a Labour government, I’d venture there’ll be interest on the IHT.

Thanks (0)
avatar
By tonycourt
21st Aug 2018 15:04

It's the date of death. I'm sure just a quick look at the IHTA will confirm that.

Thanks (0)