HMRC has confirmed that until the proposed new probate fee structure receives Parliamentary approval and comes into force, applications for grant of probate will be accepted before the IHT account has been processed and approved. This means estates will not incur the higher probate fees, provided applications are lodged before the fee changes take effect.
The government is proposing to replace the current £215 flat fee with charges based on the value of the estate, up to £6,000 for estates of £2m or over, with provisions contained in the draft Non-Contentious Probate (Fees) Order 2018. Although the new fees were meant to come into force on 1 April, the final order has not yet been laid before Parliament.
Probate registries will not normally accept applications for probate until HMRC has confirmed it has processed the IHT account. However, registries have struggled to cope with a rush of applications before the fee increase.
As part of the temporary process, HMRC has said applications must include a note to say that the appropriate IHT forms will follow shortly. See bit.ly/2V0nAOj.
HMRC issued similar guidance in its April 2017 trusts and estates newsletter in relation to the original fee reform proposals, now superseded by the current draft fees order.
HMRC has confirmed that until the proposed new probate fee structure receives Parliamentary approval and comes into force, applications for grant of probate will be accepted before the IHT account has been processed and approved. This means estates will not incur the higher probate fees, provided applications are lodged before the fee changes take effect.
The government is proposing to replace the current £215 flat fee with charges based on the value of the estate, up to £6,000 for estates of £2m or over, with provisions contained in the draft Non-Contentious Probate (Fees) Order 2018. Although the new fees were meant to come into force on 1 April, the final order has not yet been laid before Parliament.
Probate registries will not normally accept applications for probate until HMRC has confirmed it has processed the IHT account. However, registries have struggled to cope with a rush of applications before the fee increase.
As part of the temporary process, HMRC has said applications must include a note to say that the appropriate IHT forms will follow shortly. See bit.ly/2V0nAOj.
HMRC issued similar guidance in its April 2017 trusts and estates newsletter in relation to the original fee reform proposals, now superseded by the current draft fees order.
