IHTM09082 - What to do when you discover an omission or undervaluation: General

If you establish omissions or undervaluations you will need to

• consider penalties ( IHTM36121) or, in cases of fraud ( IHTM36291) possible referrals to Special Compliance Office (SCO) ( IHTM36294). Detailed criteria for considering penalties are in the following pages ( IHTM09083).
• in the case of a full enquiry ( IHTM29022) consider whether you need to ask for a corrective account or a certificate of full disclosure ( IHTM09523)
• consider the consequences for other taxes and if appropriate inform other HMRC offices ( IHTM09231) that deal with deceased or transferor’s affairs – this may be appropriate where, for example, you find interest bearing accounts, offshore investments or assets or a property yielding investment income.

If you discover poor work by a professional executor or advisor you should put them right for the future.

Amendments arising as a result of your investigations should be recorded as compliance changes on ERS ( IHTM29100). ERS should be closed as soon as your enquiries are completed.