HMRC internal manual

Inheritance Tax Manual

IHTM31851 - Assessing: SAGE: introduction

SAGE is our accounting system. We are responsible for most of our own accounting records, except that:

  • Accounts Office Shipley deal with the issue of Payable Orders (IHTM31601) to taxpayers and agents and
  • Banking, Cumbernauld deal with encashment of CTDs (IHTM31771).

The SAGE system records details of all calculations issued for tax, interest, and penalties. SAGE also records all receipts, whether they are payments of calculations issued or money placed on deposit. The system records transactions relating to:

  • Inheritance Tax, Capital Transfer Tax (CTT) and Estate Duty (ED)
  • COMPASS (IHTM31101), template (IHTM31301) and manuscript calculations
  • All charges raised, including those on lifetime transfers and non-interest in possession trusts
  • Money received from taxpayers and agents

SAGE links (by matching) calculations issued with receipts from taxpayers. This information feeds into our Annual Accounts and various reports that show how effectively we are collecting the Inheritance Tax due. So it is important that the accounting record is up to date and accurate.

It is your responsibility as the caseworker to maintain an accurate record of the amounts calculated and collected on each case.