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HMRC - What do they need on death
Rookie Investor
Posted: 28 November 2024 11:28:00(UTC)
#11

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OmegaMale;327121 wrote:
Quite how you arrange this is another matter but the executors will need the value of the investments on the date of death which can prove to be a right pain to get, particularly in the case of Unit Trusts and OEICs.

OM


There would be records of how many shares/unit held so can be calculated quite easily?

In any case, I am hoping I die in the midst of a severe bear market for the sake of my beneficiaries!
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Never Twice Fooled on 28/11/2024(UTC)
jeffian
Posted: 28 November 2024 11:49:00(UTC)
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As you specifically mention gifting, I have made several distributions to my family and on each occasion write to them confirming the date of the transfer and the amount and, in the certain knowledge that they will have lost these letters when the time comes, have attached signed copies to my will. As with much tax stuff, a lot relies on the openness and honesty of those left behind (will those valuable paintings still be on the wall when the tax man comes?!) but a point to watch out for is that the beneficiaries do not always understand the import of the information they may give. For the purpose of completing the IHT400 form, Executors will probably ask the family if they have received any lifetime gifts. As Executor to my bro-in-law's estate, I noted that my nieces had declared to the solicitors substantial amounts as taxable lifetime gifts, which I realised were not gifts from their father at all, but entitlements of a Trust of which their father happened to be a Trustee.
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Never Twice Fooled on 28/11/2024(UTC), D Bergman on 28/11/2024(UTC)
Stephen B.
Posted: 29 November 2024 21:20:25(UTC)
#12

Joined: 26/09/2012(UTC)
Posts: 795

OmegaMale;327121 wrote:
Quite how you arrange this is another matter but the executors will need the value of the investments on the date of death which can prove to be a right pain to get, particularly in the case of Unit Trusts and OEICs.


In my experience there was no real difficulty, you just write to the providers enclosing a death certificate and they give you a valuation. The only one which was slightly difficult was Vanguard, a US company only recently in the UK so I guess less experienced with UK law - they went ridiculously over the top in terms of ID evidence required and subsequently gave £100 compensation for making a mistake in accrued income, although it didn't make any practical difference. If you google most companies have a FAQ on their web site somewhere which tells you the procedure, typically search for "bereavement" (the same goes for e.g. utility companies).
Stephen B.
Posted: 29 November 2024 21:27:04(UTC)
#14

Joined: 26/09/2012(UTC)
Posts: 795

jeffian;327126 wrote:
will those valuable paintings still be on the wall when the tax man comes?!


Possibly not so much when the tax man comes as when the other beneficiaries come!
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