IHTM12033 - Investigating form D1: other items in the will (question 2)

In most cases the information provided by the taxpayer should be sufficient to enable you to close this aspect without further enquiry.

One situation that needs to be looked at carefully is when there is a loan referred to in the will. This will normally be an asset of the estate at death and form D8 should be completed to provide details. If form D1 states that the taxpayers have checked with the recipient of the loan and no sums are outstanding, you may need to consider

• whether the other assets in the estate adequately reflect the repayment of the loan, and
• where no reference is made to the loan having been repaid, whether the loan has been properly released (IHTM19110).
• where a loan has been properly released, you may need to consider whether a lifetime transfer (IHTM14023) has been made.