Warning issued over HMRC's inheritance tax clampdown
HM Revenue & Customs is clamping down on the under-valuation of probate properties, it has been warned.
Best Property Services in Newry also claimed that in thousands of cases, HMRC insisted on a revaluation so more inheritance tax (IT) is handed over, and has also levied huge fines.
IT is payable if the assets of an estate total more than £325,000.
In many cases, the deceased person's property is by far the major asset in an estate and this alone can eat up most of the threshold.
Brian Clarke, chartered surveyor at Best, said: "A chartered surveyor can provide the relative data such as recent sales and market comparisons from multiple sources and will give the beneficiaries and executors the information they need to prove the property has been accurately valued.
"This not only shows a clear audit trail for compliance purposes and proof of duty of care for the beneficiaries, but will ensure that the estate does not incur unwanted tax penalties in the future," Brian adds.