Household goods and personal goods: investigating form IHT407: other forms to be considered
The IHT400 (IHTM10021) will give you some useful pointers to the deceased’s lifestyle and you will need to consider whether they are consistent with the information given on the IHT407.
For example, the deceased’s occupation, given on the IHT400, may show that they were an art or antique dealer. If this is the case you might expect the IHT407 to include some items of a high value.
The IHT400 will also include details of any liabilities. You need to consider whether there is any connection between these liabilities and the household goods. For instance, if there are garage bills, has a car been returned on the IHT407?
The deceased’s Will may refer to specific assets and you will need to consider whether these have been reflected in the IHT400, either as assets of the death estate or as lifetime transfers (IHTM04051). Box 28 of the IHT400 asks what has happened to items that have not been included in the estate. If any such items were sold by the deceased, you should consider asking where the proceeds of sale are reflected in the estate.
The IHT404 should include details of items of joint property (IHTM15000).
The IHT405 provides information about the deceased’s main residence. Clearly, if the deceased owned a large or valuable house and a relatively small value has been returned for the household goods you should consider asking why this is.
If the taxpayer or agent has claimed conditional exemption (IHTM11260) on any of the household goods or personal assets they should have completed form IHT420. You will need to refer the matter to Heritage.