On 23 January 2019, NFU Mutual released an analysis of HM Revenue and Customs tax receipts indicating that IHT receipts had reached £5.2bn in 2018 with receipts for April to December 2018 up 0.4% from 2017.
This increase is expected to spike even more over the next few of months due to the new probate fees which will see the flat fee of £215 (or £155 for those applying through a solicitor) replaced by a tiered charging structure which starts at £0 for estates worth less than £50,000, but increases, depending on the value of the estate, to a maximum of £6,000 for estates worth more than £2million.
If you are the executor of an estate and would like to avoid paying significantly more for your probate application, please contact our Administration of Estates Team who can help you complete the required paperwork before the fees are implemented. In some cases, this will save the estate thousands of pounds.
new probate fees could trigger an influx of inheritance tax (IHT) receipts this year as executors rush to beat the regulatory deadline