HMRC Inheritance Tax Newsletter
HMRC have published the April edition of the Inheritance Tax and Trusts Newsletter which includes some useful updates including a summary of the new penalty rules which apply to Trust and Estate Returns filed after 1 April 2009 and the new Tribunal system
Other inheritance tax specific issues included in the newsletter are:
- Changes to bank accounts for electronic inheritance tax payments. For internet and telephone banking payments should be made to Citibank (Sort Code – 08-32-10, Account Number – 12001136 and Account name – CIR).
- There are also changes to payments made using a payslip or Bank Giro which will be handled by Royal Bank of Scotland Group. However, for the time being existing payslips with the old account details are still valid and will be replaced in due course.
- Updates on the transferable nil-rate band for members of the armed forces killed or missing in action prior to 12 March 1952.
In respect of Trusts, complex cases will be handled by HMRC’s specialist Trust unit in Edinburgh. Complex cases are usually those cases where at least one of the following three conditions is met:
– Tax liability for the whole of the administration period is in excess of £10,000.
– The estate has a value at the date of death in excess of £2.5m.
– Proceeds of all assets sold by the personal representatives in any one tax year exceed £250,000.