Paying Inheritance Tax.....dates and thresholds

[joxer]

An aunt of passes away in Aug 2012 and left me ~60k. The CAT is due this October 2013 but I am confused about the ' valuation date' and what rates/thresholds to use as these were modified in the Dec 2012 budget.

ie Prior to Dec'12 ( date of death ) the CAT rate was 30 % and my threshold was 33,500 euro.

After Dec'12 budget these changed to 33 % and 30,150 euro.

The grant of probate was issued in June of this year and I have yet to receive any benefit, I do expect everything to be settled by mid-sept.

Can some advise please, obviously I would prefer to use the pre Dec12 rates .

Can the valuation date be taken as time of death, or is it tied to the date grant of probate was issued ?


All comments welcome.

 

[Joe_90]

I'll leave this one to @vanilla.

 

[Nige]

The rate and threshold that apply are determined by the date of death and so the pre-budget rate and threshold apply in this case.

The date the return and tax and due is determined by the 'valuation date'. In most cases (and most likely in your case) this is the date of probate and so you are correct in saying that your tax is payable this October.