The Transferable nil rate band has been in practice for some time now but complications happen when the first spouse died many years ago. Helping the surviving spouse prepare certain documents will help to ensure the transferable nil rate band can be used on their own estate.
The transfer of an unused nil rate band is made by the personal representatives of the surviving spouse or civil partner after their death. They will need to complete a claim form which requests information to calculate the amount of nil rate band that was unused on first death and available to transfer. Certain documents will be required to support this claim and the process is greatly assisted where these documents have been kept together in anticipation.
The documents required are:
• the death certificate of the first to die
• The marriage or civil partner certificate of the couple
• A copy of the spouses Will if there was one
• A copy of the Grant of Probate
• Any deed of variation that was executed to change the people that inherited from the estate
This information is sent to HMRC when the IHT 400 is sent in on the death of the surviving spouse.
The personal representatives have two years from the end of the month in which the survivor dies to make a claim.
The whole process is much simpler when the information is collected and kept after the first of a couple dies. This information should be stored with the survivors Will so that it is readily available when it is required.
