Hello Sir
I wish to ask u a query in using nil rate band
This was a question in march 2016
It said:
A and B are married. A has unused nil rate band. A dies in 2011
After A dies b marries to someone else.
After few years in 2015 B dies.
1. Question : Can the personal rep of B use the unuesd nil rate band of A (x-husband of b) ?
2. Is deceased PR the one to whom deceased has transferred the death estate?
Thank U So much for ur help..
Ask the Tutor ACCA TX-UK
INHERITANCE TAX
As the March 2016 exam is not published clearly I cannot comment on either question or answer but a PR is not necessarily a beneficiary but is a person (often more than one) who administers the estate and ensures that the IHT forms and tax are correctly completed and submitted to HMRC, which then allows the assets to be distributed to the beneficiaries.
The maximum unused nil rate band that may be received by a spouse is 100% irrespective of however many spouses may have pre-deceased them and their prior history!
This is not the sort of detailed issue that has any bearing on whether you pass this exam! Make sure you know the core issues!!
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