Tax issues for deceased estates
- Any complex estates that have incurred a liability to income tax or capital gains tax for the first time during the 2018/19 tax year will need to register via the Trust Registration Service by 5 October 2019.
- An estate will not be complex provided that:
- The total tax liability for the entire administration period is less than £10,000; and
- The probate value of the estate is less than £2.5 million; and
- The proceeds of assets sold by the personal representatives in any one tax year are less than £500,000
- An estate that is not complex can instead be dealt with on an informal basis by writing to HMRC with details of the total tax liability for the entire administration period.
- MHA Broomfield Alexander can assist with calculating an estate’s tax liability and registering under the Trust Registration Service if required.