How HMRC Views Probate Valuations: What Executors Need to Know

One of the most common concerns executors have is whether HM Revenue & Customs (HMRC) will accept the values submitted as part of an estate.

The good news is that HMRC does not expect perfection. What they do expect is that executors have taken reasonable care when determining the value of estate assets.

The Executor's Responsibility

When acting as an executor, you are responsible for reporting the value of the deceased's estate as accurately as possible at the date of death.

This includes:

• Property

• Bank accounts

• Investments

• Vehicles

• Household contents

• Personal possessions

• Valuable collections
  

Why Estimates Can Be Problematic

Many people assume that second-hand household contents have little value. While this may be true for some items, it is not always the case.

Jewellery, watches, antiques, artwork, collectables, and specialist equipment can all contribute significantly to the overall estate value.

Submitting unsupported estimates may increase the likelihood of HMRC requesting additional information.

Evidence Is Key

Professional probate valuation reports provide independent evidence that demonstrates the executor has taken reasonable steps to establish accurate values.

This can be particularly important where:

• Inheritance Tax is payable

• The estate is of significant value

• Beneficiaries disagree over asset values

• The estate contains specialist items
  

Reducing Risk

An independent valuation helps reduce the risk of:

• HMRC enquiries

• Delays in estate administration

• Beneficiary disputes

• Challenges to executor decisions

For many executors, a professional valuation is not simply about compliance—it is about peace of mind, so ask Provals, the specialists to support and guide you.