The tax office is quick to demand money owed and threatens fines, but is slow when giving refunds
When my mother died, there was a four-year delay in achieving probate owing to financial complexities. During this time my father paid inheritance tax (IHT) on the advice of his solicitor, to prevent interest accruing.
It turned out that the solicitor’s estimate of the amount was wildly out.
My father applied for a rebate a year ago and, eight months later, HMRC confirmed that he was owed £153,500. Two more months have passed without a word. My father is 86 and I do wonder if HMRC is hoping he will die before it has to pay.
He used all his savings, and had to sell a field to pay the tax he thought he owed, and it’s left him very short of money.
