Form IHT419: debts owed by the deceased
This page covers what form IHT419 is, who fills it in, and what it asks for.
What is form IHT419?
Form IHT419 is one of the supplementary schedules behind the main Inheritance Tax account. Its official title on GOV.UK is "Inheritance Tax: debts owed by the deceased (IHT419)", and you use it when you have claimed a deduction for loans, overdrafts, or money spent on behalf of the deceased that is to be repaid out of the estate.
Deducting debts reduces the value HMRC taxes. The form is current, and GOV.UK last updated it on 8 May 2018. Download it from debts owed by the deceased (IHT419).
Who needs to complete form IHT419?
You need form IHT419 only if two things are true. First, the estate is reported on form IHT400 rather than as an excepted estate. Second, you have claimed a deduction for one of the debts the schedule covers.
If the estate is an excepted estate, you do not send form IHT400 at all, so form IHT419 never arises. You can check the rules on GOV.UK for checking the type of estate.
Personal representatives complete it. If you are unsure what that role involves, read what an executor of a will does.
What information does form IHT419 ask for?
Form IHT419 has five numbered sections (GOV.UK). Box 1 covers money spent on the deceased's behalf that was not repaid, such as a relative paying household bills. Box 2 covers loans and other outstanding liabilities, including loans from friends or relatives. Box 3 covers liabilities tied to a life assurance policy or investment bond not fully reflected elsewhere on form IHT400. Box 4 covers debts the deceased personally guaranteed for someone else. Box 5 covers a gift made after 18 March 1986 where the deceased later borrowed money back from the same person, since special rules restrict deducting it.
Box 1 is the one families miss: if a relative paid the deceased's bills and the estate will reimburse them, that claim goes there. Work out the figures alongside how to value an estate for probate, since debts and assets feed the same total.
How does form IHT419 fit with form IHT400?
Form IHT419 is never sent on its own. It attaches to form IHT400 and goes to HMRC as part of that pack, which must be sent within 12 months of the death and before you apply for probate (GOV.UK). That timing governs form IHT419 too.
Form IHT400 is interactive and needs Adobe Reader, and you cannot save a partly completed form, so gather every figure first (GOV.UK). HMRC then sends a unique code you need before applying for probate.
Debts sit alongside the asset schedules in the same pack, such as form IHT407 for household and personal goods. For which schedules an estate needs, see inheritance tax forms.
What is the difference between IHT419 and IHT416?
Form IHT419 covers debts owed by the deceased, which reduce the estate. Form IHT416 covers debts due to the estate, which is an asset. The two point in opposite directions, and both are IHT400 schedules in the GOV.UK collection.
If you are still working out which liabilities the estate must settle, what happens to debt when you die explains how debts are treated after a death.
Frequently asked questions
Where do I download form IHT419?
Form IHT419 is on GOV.UK under the title "Inheritance Tax: debts owed by the deceased (IHT419)". Download the PDF from that publication page. GOV.UK last updated the page on 8 May 2018, so the version you download there is the current one.
Can I complete form IHT419 online?
No. Form IHT419 attaches to form IHT400, which GOV.UK describes as interactive and needing Adobe Reader. You cannot save a partly completed form, so collect every figure first. No IHT400 schedule has an online submission route; every one is completed on screen, then printed and posted.
What debts can be deducted for inheritance tax?
GOV.UK describes form IHT419 as covering money spent on the deceased's behalf, loans and outstanding liabilities, life assurance and investment bond liabilities, and debts the deceased guaranteed for someone else. For deaths on or after 17 July 2013, a liability can only be deducted if it meets conditions on what the money was used for and whether it is actually repaid from the estate, with named exceptions where GOV.UK accepts a genuine commercial reason for not repaying it.
Do I need a solicitor to complete form IHT419?
No. Personal representatives can complete form IHT419 themselves, and many do where the debts are simple, such as one loan or an overdrawn account. Disputed or foreign liabilities are where paid advice earns its cost.
What happens if I get form IHT419 wrong?
HMRC may query the deduction and ask for evidence of the debt and who it is owed to. If you need to correct a figure after form IHT400 has been sent, the form is C4, 'Inheritance Tax: corrective account', which you send to HMRC if you have paid too much or too little Inheritance Tax.
Does form IHT419 apply in Scotland and Northern Ireland?
Yes, the same form. Form IHT419 is a schedule to form IHT400, used across the UK, and GOV.UK publishes no separate Scottish or Northern Irish version. Probate is called confirmation in Scotland, and Northern Ireland's own probate summary, IHT421, is a different document for a different purpose.
Notifying everyone the person dealt with
Working out the debts means chasing lenders, banks and providers one at a time. Legacy Trail finds the accounts and services the person held and notifies them centrally.
Frequently asked questions
No. Form IHT419 attaches to form IHT400, which GOV.UK describes as interactive and needing Adobe Reader. You cannot save a partly completed form, so collect every figure first. No IHT400 schedule has an online submission route; every one is completed on screen, then printed and posted.
GOV.UK describes form IHT419 as covering money spent on the deceased's behalf, loans and outstanding liabilities, life assurance and investment bond liabilities, and debts the deceased guaranteed for someone else. For deaths on or after 17 July 2013, a liability can only be deducted if it meets conditions on what the money was used for and whether it is actually repaid from the estate, with named exceptions where GOV.UK accepts a genuine commercial reason for not repaying it.
No. Personal representatives can complete form IHT419 themselves, and many do where the debts are simple, such as one loan or an overdrawn account. Disputed or foreign liabilities are where paid advice earns its cost.
HMRC may query the deduction and ask for evidence of the debt and who it is owed to. If you need to correct a figure after form IHT400 has been sent, the form is C4, 'Inheritance Tax: corrective account', which you send to HMRC if you have paid too much or too little Inheritance Tax.
Yes, the same form. Form IHT419 is a schedule to form IHT400, used across the UK, and GOV.UK publishes no separate Scottish or Northern Irish version. Probate is called confirmation in Scotland, and Northern Ireland's own probate summary, IHT421, is a different document for a different purpose.
This article is for general information only and does not constitute legal advice. Individual circumstances vary. If you are dealing with an estate, consider taking advice from a solicitor who specialises in probate. For other guidance specific to your circumstances, speak to a funeral director, Citizens Advice, or a regulated financial adviser.