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Posted Tue, 19 Nov 2024 19:37:32 GMT by Keval K
Hi -

I am in the process of buying a property with the charge below. The vendor will either settle the inheritance tax prior to sale or wants to use the proceeds to do so.
 

Notice of an Inland Revenue charge (Reference number xx) in respect of such inheritance tax as may arise by reason of the death of xxx

I’m struggling to get much help from the lawyers to advise on the process to remove the charge. Are you able to help advice what you need from HMRC to remove the charge? Is it a certificate of some sort? And what’s the timeline to remove please?

many thanks!
 
Posted Thu, 21 Nov 2024 19:24:41 GMT by Darren Standring
This notice was entered on a specific application by the Commissioners for HM Revenue and Customs (the Commissioners) and can be cancelled when the Commissioners apply to remove the entry because the tax has been paid. 

Please see practice guide 6 section 6 which explains how this can happen contemporaneously with a transfer to a new proprietor.
Posted Fri, 22 Nov 2024 09:42:45 GMT by Keval K
Thank you. I understand that HMRC may give a settlement figure but i clearly need assurance that based on this settlement, the charge will be removed (and the sale proceeds will be used to settle).

How would I go about securing this? Can the commissioners complete the CN1 form beforehand and then the conveyancer can submit when I buy the property (and they have the undertaking that proceeds will be used to settle the tax due). Thank you 
Posted Tue, 26 Nov 2024 07:36:33 GMT by Adam Hookway
Keval - that would be something for the commissioners and conveyancer to agree upon. PG 6 explains what we require but how that's arrived at is not something we would be involved in or can advise you on

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