Skip to content

ACCA Strategic Professional · Advanced Taxation (UK) · Inheritance tax: administration and payment, including the instalment option

Brenda died on 20 March 2026. Her estate included a house worth £500,000 that passed to her son. The executors are concerned about the due date for the IHT on the estate. Which statement is correct?

IHT on Brenda's estate is due on 30 September 2026, six months after the end of the month of death in March 2026. Interest on underpaid tax runs from that date if payment is late. The lifetime 30 April rule does not apply on death.

  1. AIHT is due six months after the end of the month of death, being 30 September 2026, and interest runs from that date on late payment.Correct
  2. BIHT is due 12 months after death, being 20 March 2027, with interest running from that date.
  3. CIHT is due on 30 April 2027, being the 30 April following the tax year of death.
  4. DIHT is due on delivery of the account, with interest running only from the date of the grant of probate.

Explanation

Tax on death estate is due six months after the end of the month of death. Death in March 2026 gives 30 September 2026. Interest on underpaid tax runs from that date. The 30 April option wrongly applies the lifetime transfer rule.

Did you get it right without looking?

One question tells you little. A timed set on Inheritance tax: administration and payment, including the instalment option shows your real accuracy, how long you take and where you lose marks.

Practise Inheritance tax: administration and payment, including the instalment optionFree diagnostic mock

More Inheritance tax: administration and payment, including the instalment option questions