IHTM34033 - Service/Compliance procedures: has form IHT 35 been completed correctly?

Check

Action

a) Has the form been fully completed? This means that

• all columns in part 1 are fully completed
• question in part 2 is answered and if “Yes” details of purchases are included

all questions in part 3 are answered and if answered “Yes” details provided.

If not, you should return the IHT 35 to the taxpayers or their agents. The covering letter should make it clear what further details you need. You should also make it clear that the ‘appropriate person‘ (IHTM34161) must initial any amendments.

b) Has the ‘appropriate person’ signed the declaration on page 4? If there is more than one executor or trustee they will all need to sign the form. You should make sure that the form has not been signed by the agents rather than the appropriate persons.

If not, you must return the IHT 35 to the taxpayers or their agents. Your covering letter should explain that all claims have to be made by all the appropriate persons.

c) Has either box 1 or 2 on page 4 of the IHT 35 been ticked?

If not,

1. if the form has been returned within 2 months of the last date of sale shown in part 1 of the form, or if only part of the holding of shares has been sold and less than a year has passed since the death. You should telephone the taxpayers or their agents to check whether they intend either to make any further purchases within the 2 month period or sell and more shares in the 12 months from death. If you are satisfied that no sales or purchases are in prospect then you may continue to process the claim and allow any relief on a provisional basis (IHTM34072). Otherwise you should return the IHT 35 and ask for a new, fully completed IHT 35 to be sent to this office by the 'appropriate person' once the sales or purchases have occurred.
2. If the date of the last sale was over two months from the date the IHT 35 was signed and either all the shares have been sold or more than 14 months has elapsed since the date of death, there is no need to return the form and you may proceed with processing the claim.