Winding up an estate where there is an IHT liability and after paying tax and obtaining Probate the executors obtain a sale price of the residence in a relatively short time at a much higher price (say £200k) above that used for Probate, how far would HMRC allow CGT to be used on the gain rather than calling for the higher liability of IHT on the estate ?
In a similar situation we paid CGT (it was the 30 day reporting then, not 60) and sent the IHT clearance as usual and it was all accepted. A problem you may have by trying to get an answer from HMRC is the you miss the CGT filing then get penalties so I suggest pay the CGT.
Many thanks for your reply,