HMRC internal manual

Inheritance Tax Manual

Liabilities: investigating form IHT419: purpose of the form

Supplementary form IHT419 is enclosed with the IHT400 where the taxpayers are claiming a deduction from the deceased’s estate for particular types of debt. These are

  • loans from friends and relatives (IHTM28321)
  • money spent on behalf of the deceased by a close friend or relative (IHTM28330)
  • other loans or overdrafts (IHTM28340)
  • guarantee debts (IHTM28351).

It should also be completed where FA86/S103 may apply to restrict the deduction (IHTM28361) for a debt. Broadly speaking this is where the deceased has both borrowed money from someone and has made a gift to that same person.