Postby Tenareze » Mon Aug 19, 2019 11:21 pm
Well, I spoke to HMRC, and I confess to being pleasantly surprised by their comments.
They pointed out that the IHT Manual makes no explicit reference to PB winnings in the contect of IHT403 income (although they implied that maybe there should be). Nevertheless, they suggested that I record the amounts as "Other Income", together with an explanatory note (to our executors) as to why I had done so. HMRC would then assess the validity of the claim when it is eventually submitted. Interestingly, they said they understood my reasoning for regarding PB winnings as income (but that is not to say they agreed with it, of course).
So, I will follow their suggestion, and leave the detailed discussions to our trusted executors. Of course, it may turn out that the amounts involved are not relevant anyway, as there may well be sufficient qualifying income to cover our gifts.
Thanks to all for your feedback.