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Where Taxpayers and Advisers Meet

Inheritance and CGT on investment bonds

LJBQuery
Posts:2
Joined:Mon Oct 11, 2021 5:26 pm
Inheritance and CGT on investment bonds

Postby LJBQuery » Tue Oct 19, 2021 12:04 pm

Just completing IHT 400 for late fathers estate. Have received IHT value of investment bonds from provider. This is the type of bond which pays out 101% on passing of bond holder. Valuation states that there is a chargeable gain on which income tax has already been paid at lower tax rate. It then states that the chargeable gain should be declared on 'your' tax return. Very confused, does this mean that the bond is shown on the IHT 400 and 410 and then needs to be declared elsewhere in order for the chargeable gain to be addressed ie capital gains tax applied? Many thx

maths
Posts:8507
Joined:Wed Aug 06, 2008 3:25 pm

Re: Inheritance and CGT on investment bonds

Postby maths » Wed Oct 20, 2021 12:02 am

The bond proceeds are included in the deceased's estate only if any sum(s) is/are payable by
the insurance company(ies) to the estate as a result of the deceased’s death.


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