HMRC in Agent Update 116 today have stated From 17 January 2024, customers applying for probate in England and Wales, will no longer need to complete an IHT421 Probate Summary to submit with their IHT400.
Instead, the letter we send confirming receipt and processing of the form IHT400 will provide a unique code and the details of the estate values which will be needed to make a probate application. Where we are unable to issue the unique code, we will advise you in that letter what action must be taken before we can issue the code.
This unique code should be used to apply for probate using the HM Courts and Tribunals Service (HMCTS) online portal. Applications for probate where an IHT400 has been submitted to HMRC will not be possible without the unique code and estate values.
This new process will:
** mean that customers will have one less form to complete*
** prevent premature probate applications which can cause delays*
** give customers the confidence to proceed with their probate application at the right time*
This is all part of our commitment to make things easier for our customers, which is one of our HMRC Charter standards.
The process in Scotland and Northern Ireland will remain the same.
Interesting how HMRC refer to the changes as from 17 January and HMCTS as 18 January … they cannot even get that right
What about matters where the IHT 400 is currently with HMRC and we are waiting the 20 days before submitting the probate application? I have a matter like this where my 20 days elapsed on Monday. Will I need a code for that? I suspect I will be on the phone to HMRC on Monday morning, no doubt struggling to get through along with all of the other practitioners.
Is there a box in the online probate application form to submit a code?
What about paper applications - do we just put the code in the covering letter?
My HMCTS portal allows you to say that documents were sent to HMRC before 17 January and thereby avoid the need for an HMRC code. So that is the grace period being referred to.
They will not give a code by phone
I saw the options about the dates but common sense told me it would allow me to complete the application, with the code being entered on submission.
As I say above, such a process would be similar to the Payment section where we add our PBA and file reference after we confirm the Legal Statement is correct. The HMRC Code could be placed before we confirm the Statement is correct, which I do after it has been returned/signed.
As for how/when we get the code, surely an e-mail would make sense. Quicker, less likely to go astray and cheaper!
It would be nice if they could get it back to the average time under the old (cheaper/more helpful) system which i recall being about 3 weeks for most applications.
This update has appeared on [Apply for probate with MyHMCTS - GOV.UK :
If Inheritance Tax needs to be paid:
send the IHT400 form to HMRC
wait 20 working days for HMRC to send you a letter with a code
When you apply, you will be asked to enter the code. You cannot complete and submit your application until you have received a letter with a code from HMRC.
If you have not received a letter after 20 working days, you must contact HMRC.
Inheritance Tax helpline
Telephone: 0300 123 1072
Monday to Friday, 9am to 5pm
Per Ian Bond on X “the guidance will change when this goes live, HMRC will issue the code (which is unique and not their F code or HMCTS 16 digit code) that will be inserted in a new field on the HMCTS portal, and a new box on revised forms PA1A/PA1P.”
Does anyone know if you have to use a code for a paper application? HMRC obviously do not know whether the application will be made online or by post, as the IHT400 does not ask about this anywhere, so presumably they will have to send a code in every estate.
I can only think that this change in the system has come about solely because HMRC were not providing HMCTS with the authorised IHT 421 within 20 working days and as a result some grants were issued before IHT had been paid. That leads me to believe that we may now experience an even longer delay before the online application can be carried out as the change in the procedure will not necessarily speed matters up with HMRC. Perhaps the whole business should be sent offshore to Rwanda!