HMRC’s Bereavement Service and Personal Applications

Gary Green
Gary Green
June 13, 2017

In 2012 a dedicated HMRC bereavement services team was launched that deals with PAYE and Self Assessment issues which arise when a taxpayer dies.

The team provides family members or personal representatives with a single point of contact. They work to finalise the PAYE and Self Assessment affairs of the deceased. The family members or personal representatives are ultimately responsible for settling any tax liability on untaxed income arising to the estate during the administration period. There are more complex rules where trusts are involved.

A New Automated Process

The R27 form Reclaiming tax or paying tax when somebody dies was withdrawn in 2014. It has been replaced with an automated process for PAYE taxpayers that is simpler to navigate.

This is because much of the information requested is held within the Real Time Information (RTI) system. The process for Self Assessment taxpayers has been replaced with a tailored service, which includes letters that match the individual’s circumstances.

Since the service was launched the specialist bereavement teams handles over 8,000 calls a month and offers a more simplified process for loved ones at a difficult time. HMRC has also made it easier for family members to authorise someone to act on their behalf.

At Key Business Consultants we are experienced in dealing with the issues that can arise. We are very happy to help in all these cases. In most cases, HMRC is able to settle the tax affairs of deceased taxpayers’ in-year instead of at the end of the tax year, giving the bereaved more certainty more quickly.

Estates in Administration

Whilst an estate is in the administration period it will usually be dealt with by HMRC’s Trusts & Estates department where:

  • The tax liability for the whole of the administration period is in excess of £10,000, or
  • the estate has a value at the date of death in excess of £2.5m, or
  • the proceeds of assets sold by the personal representatives in any one tax year exceed £250,000

The Trusts and Estates section also deals with any tax liability for the administration period:

  • if a trust has been created either under the deceased’s Will
  • or the rules of intestacy
Interested in our services?
Fill in your details and a member of our experienced team will be in touch shortly to discuss your needs.
Contact Form Demo (#1)
We adhere to strict GDPR rules and do not reveal or sell your data to any third-parties. For more, please read our Privacy Policy.
Latest Insights
June 13, 2024
Credit Card Sales Campaign

Originally set up in 2014, HMRC’s Credit Card Sales Campaign was aimed at individuals and businesses...

June 6, 2024
Advice Regarding Tax Litigation

The term “litigation” is used to refer to a tax dispute’s resolution when a statutory appeal...

May 30, 2024
Let Property Campaign

HMRC has looked closely into tax compliance among UK property investors and UK landlords since 2013...

May 23, 2024
What Is A Residence & Domicile Enquiry?

Questions regarding domicile and residence have significant effects on taxes that are payable and due in...

May 16, 2024
Company Tax Investigations By HMRC

If HMRC decides to carry out an investigation into a company’s tax returns, it is important...

May 9, 2024
A Guide To The WDF (Worldwide Disclosure Facility)

More than a hundred countries around the world have made a commitment to exchange information with...

May 2, 2024
Contractual Disclosure Facility And HMRC COP9

Any tax investigation that HMRC carries out can be regarded as serious. However, if you become...

April 25, 2024
A Guide To Managed Service Companies, Personal Services Companies And IR35

Usually, people work as either a self-employed individual or an employee for a business. Nevertheless, there...

April 18, 2024
Criminal Tax Investigations

It is HMRC’s aim to ensure that taxpayers comply with the regulations and law, but HMRC...

View Our latest insights »
Get the latest UK tax & business news and guidance delivered straight to your inbox
Newsletter Form (#2)
We care about the protection of your data. No spam. Unsubscribe anytime.
Copyright © 2022 Key Business Consultants LLP. Reg: E&W OC389322
linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram