Do I need to notify HMRC even if no tax is owed?

Yes. Even if the deceased owed no tax, HMRC needs to be notified so they can update their records, stop correspondence, and confirm the tax position. You should contact HMRC directly and use the Tell Us Once service when registering the death.

What is the deadline for the final Self Assessment return?

The final Self Assessment return must be filed by 31 January following the end of the tax year in which the death occurred. For example, if the death occurred in January 2025, the final return covers the period from 6 April 2024 to the date of death and must be filed by 31 January 2026.

What if the estate cannot pay the Inheritance Tax?

If the estate lacks liquid funds to pay IHT, several options may be available. The Direct Payment Scheme allows banks to pay IHT directly to HMRC from estate accounts before probate is granted. In some cases, IHT on property or unlisted shares can be paid by instalments over up to ten years. If the estate is genuinely insolvent, take specialist legal advice immediately.

Will HMRC investigate the deceased?

HMRC can and does open compliance checks on deceased persons' tax affairs, particularly where property valuations are involved or where the deceased had complex tax affairs. As executor, you are responsible for cooperating with any such investigation. If HMRC raises a further tax demand after you have already distributed the estate, you may be personally liable.

Does Tell Us Once notify HMRC about everything?

No. Tell Us Once notifies HMRC about Child Benefit, Tax Credits, and some other benefits, but it does not cover income tax, self-assessment, Inheritance Tax, or the deceased's UTR. You will need to contact HMRC separately on 0300 200 3300 for these matters.

Does Tell Us Once cancel State Pension?

Yes. Tell Us Once notifies the Department for Work and Pensions, which administers the State Pension. The pension should stop automatically. However, you should also check that any ongoing payments are stopped promptly and that any overpayments (which form a debt to the estate) are repaid.

How to notify HMRC after a death: a complete guide

Notifying the right government departments after a death involves several steps, some of which have strict deadlines. This guide explains what needs to be done, in what order, and what happens if you miss a deadline.

Tell Us Once: notifying multiple departments at once

The Tell Us Once service allows you to report a death to multiple government departments and local council services in a single step. When you register the death at the register office, they will give you a unique reference number to use the Tell Us Once service online or by phone.

Tell Us Once notifies: HMRC (for Child Benefit, Tax Credits, and some other benefits), the Department for Work and Pensions, the Passport Office, the DVLA, the local council (for council tax and housing benefit), and the Electoral Commission.

Tell Us Once does not cover everything. You will still need to contact HMRC separately for income tax, self-assessment, and Inheritance Tax matters.

Contacting HMRC directly

HMRC's bereavement helpline is 0300 200 3300. You can also write to HMRC or contact them through the Government Gateway if the deceased had an online account. Have the deceased's National Insurance number and Unique Taxpayer Reference (UTR) to hand if available.

HMRC needs to know about the death so they can:

Update their records and stop sending correspondence to the deceased.
Issue or adjust any P800 tax calculation for the year of death.
Cancel any PAYE tax codes.
Advise on whether a final Self Assessment return is needed.

The final Self Assessment return

If the deceased was required to complete Self Assessment tax returns (for example, because they were self-employed, had rental income, or had income over £100,000), a final return is needed for the tax year in which they died, covering the period from 6 April to the date of death.

The deadline for filing this return is 31 January following the end of the tax year in which the death occurred. If the person died in, say, January 2025 (in the tax year 2024 to 2025), the final return must be filed by 31 January 2026.

The executor is responsible for filing the final return and paying any tax due. HMRC may issue a P800 tax calculation automatically for PAYE taxpayers, showing whether the deceased overpaid or underpaid tax. A tax refund belongs to the estate.

Reclaiming savings tax: form R40

If the deceased received savings interest subject to income tax, and their total income was below the personal allowance, it may be possible to reclaim tax deducted at source using form R40. This applies for the year of death and potentially earlier years if returns have not been filed.

Inheritance Tax: forms and deadlines

Inheritance Tax (IHT) must be paid within six months of the end of the month in which the death occurred. If the death occurred in March, IHT is due by 30 September. If this deadline is missed, HMRC charges interest on the outstanding amount at the official HMRC rate, which can be checked at gov.uk/hmrc-interest-rates-for-late-and-early-payments. Interest runs from the due date regardless of whether the grant has been issued.

Which IHT form do you need?

The IHT205 (the short form for excepted estates) was abolished for deaths occurring after 1 January 2022 in England and Wales. For those deaths, the estate is reported directly as part of the online probate application. For deaths before that date, the IHT205 may still apply. HMRC form requirements and thresholds are subject to change — always verify the current requirements at gov.uk/valuing-estate-of-someone-who-died or via HMRC's bereavement helpline (0300 200 3300) before filing.

For estates where IHT is due, or where the estate is complex, the IHT400 (and relevant supplementary schedules) must be completed and submitted to HMRC before probate can be granted.

The Direct Payment Scheme

You usually cannot access estate funds to pay IHT until you have probate, but probate is not granted until IHT arrangements have been made. The Direct Payment Scheme allows banks and building societies to pay IHT directly to HMRC from the deceased's accounts before the grant is issued. Most major high street banks participate. Contact each bank individually to arrange this.

HMRC compliance checks on property valuations

HMRC reviews property valuations submitted for IHT purposes and may compare them against the eventual sale price. If a property later sells for significantly more than the probate value, HMRC may open a compliance check and demand additional IHT plus interest.

Accurate valuations at the date of death are therefore essential. If you are uncertain, obtain a formal RICS valuation rather than relying on a rough estimate.

Executor personal liability

If you distribute the estate to beneficiaries before all tax has been paid and HMRC later raises a further demand, you as executor may be personally liable to meet that demand from your own funds. This is one of the most significant risks an executor faces.

To protect yourself, obtain clearance from HMRC before making the final distribution. For income tax and Capital Gains Tax purposes, you can request clearance using form CG34. For IHT, clearance is given when HMRC issues a clearance certificate confirming that all IHT has been paid and no further liability is anticipated.

Tax during the administration period

The estate may generate income and gains during the administration period (from death until the estate is fully wound up). Rental income, dividends, savings interest, and gains on selling assets are all potentially taxable.

Executors must register the estate with HMRC as a trust and estate if it generates taxable income or capital gains above the relevant thresholds. See gov.uk/trusts-taxes for current guidance and thresholds.

What if tax records cannot be found?

If you cannot find the deceased's tax records, UTR, or previous returns, contact HMRC's bereavement helpline directly. HMRC can provide information about whether the deceased was registered for Self Assessment, what returns have been filed, and whether there is any outstanding liability. You will need to confirm your authority as executor.