Reconsideration by taxpayers: changed circumstances
The offer to pay tax on a higher value may reflect a correction to
- the nature or character of the property or interest to be valued so that in effect we now have to value different property, or
- other information on which the original valuation was based.
This may be because the taxpayers have received further information to the effect that, for example
- property previously valued subject to a statutory tenancy should be valued with vacant possession
- property is freehold (IHTM23001), not leasehold as previously thought, or
- the extent of the deceased’s share or interest is greater than originally disclosed.
Refer the case to your manager if it seems that
- the property to be valued may have to be redefined, or
- the original valuation was based on wrong or misleading information.
In other cases you are free to consider whether to accept offers of tax on a higher value, e.g. on a sale of the property in question.
If the taxpayer offers to pay tax on what seems to be an unduly high value, you should consider a referral to the appropriate valuation specialist for advice.