How necessary is it to get formal valuations for IHT

[Umar]

Hi

How important is it to get a formal RICs valuation for IHT calc purposes?
I just don't want to have to pay for it, and am just wondering if I could do the valuations only if HMRC enquire.

[pawncob]

It depends on what's being valued.
Quoted/unquoted share valuations can be done by almost anyone, as can freeholds/leaseholds etc, but if it comes to an argument it's best to have a professional valuation as it may carry more weight and be backed by valid opinions.

[Lee Young]

If IHT is in question in the estate then a formal valuation of property should be obtained as it shows HMRC that the executors were trying to do their job properly by employing professionals in the valuations. If they do not, and HMRC allege an underpayment, a "bag of the fag packet" valuation that turns out to be wrong could lead to the executors being penalised and if I were the beneficiary of that estate I would not expect to pay that penalty from what I am otherwise going to inherit.