IHTM20026 - Investigating form IHT410: If the answer to Question 10 is Yes

In this instance there will be a lump sum payable under a purchased life annuity as a result of the deceased’s death. This is usually because the annuity is “capital protected”, i.e. the gross annuity payments during life amount to less than the purchase price - in this case the lump sum is a refund of the difference.

The following information should be provided:-

• the name of the company that sold the policy
• how the lump sum has been calculated (if known)
• the amount of the lump sum payable
• to whom the lump sum is payable if it is claimed that it is not payable to the estate, and when and how the deceased disposed of the right to receive it.

When all this information is available, refer to the chart in IHTM20027.

(This text has been withheld because of exemptions in the Freedom of Information Act 2000)

See also IHTM20633.