HMRC internal manual

Inheritance Tax Manual

Foreign property: Double Taxation Conventions: certificate of tax paid: South Africa

Where the relief is a simple waiver of taxing rights by one of the two countries, a special instruction applies (IHTM27178).

Where a Double Taxation credit is due, you may allow the amount claimed on the form IHT400 provisionally but;

The case must not be closed until the payment has been certified by the South African authorities on Form 745.

You must send the taxpayer two prints of form 745, available from Technical. After completing the forms the taxpayer must send both copies to the South African authorities at

International Relations,
South African Revenue Services,
Private Bag X923,
Pretoria, 0001
Republic of South Africa

The South African authorities will keep one copy and certify the other and return it to us . You must check the certified form against the information you hold on file and allow the appropriate credit.

  • The credit you give must not be more than the amount of tax payable in the UK on the property concerned.

If you are uncertain about the amount of credit due, seek advice from Technical.

Certificate of IHT paid

The South African form Revenue 260 is sent to this Office in duplicate for certification.

The forms must be checked, but you must make sure you do not mark the forms themselves in any way. Send the forms and the file with a note of any error or omission to Technical once all the tax has been paid. Technical will arrange for one copy to be certified and sent with a schedule of any necessary amendments to the South African authorities. They will file the other copy. You should notify the taxpayer or agents that the certificate has been sent, and provide them with a copy of any amending schedule.

Where a certificate of tax paid cannot be issued on application - because the amount of tax has not been finalised and paid - you should explain this to the taxpayer or agents. You should also remind them that they can lodge a provisional claim for a credit with the South African authorities (although there is a time limit under Article 13). When the case is ready you should refer the application and the file to Technical to issue the certificate.

If there is any adjustment of tax after a certificate has been issued the file should again be referred to Technical to issue an amending certificate.