How do I respond to an HMRC probate query?
- 1Read the query carefully to identify exactly what HMRC is asking — property value, gifts, an allowance claim, or missing documents.
- 2There are four main query types: property valuation, gifts and PETs, allowance claims (RNRB/transferable NRB), and missing supporting documents.
- 3Respond formally in writing, address each point specifically, and never volunteer more information than is asked.
- 4Keep copies of everything you send, and use recorded delivery for hard-copy submissions.
- 5HMRC will sometimes accept a negotiated figure without a full dispute — respond promptly and factually rather than with emotive language.
An HMRC query letter about a probate return can arrive weeks or months after you submitted the IHT400 — often just as you thought the process was nearly done. The key is to treat it as what it usually is: a request for supporting information, not an accusation. A clear, organised response resolves most queries quickly. This guide walks you through the four main query types and gives you a step-by-step approach for each. For background on what triggers these queries, see our guide on HMRC IHT compliance check letters.
Step 1: Read the Query Carefully
Before you do anything else, read the query letter in full — twice. HMRC queries are structured documents and the specific wording matters. As you read, note:
- The specific question or issue. Is HMRC asking about a property value, a gift, an allowance claim, or a missing piece of supporting documentation?
- The evidence or documents requested.HMRC usually lists precisely what it wants — a surveyor's report, bank statements for a specific period, a trust deed, a pension nomination form. Work from this list.
- The response deadline. Typically 30 days. If you cannot meet it, contact HMRC before the deadline to request an extension.
- The HMRC officer's contact details. The letter will name an officer and give a phone number or address. You can call to clarify the query before responding — this often saves time.
Identify which of the four main query types applies to your situation (see below) before gathering any evidence.
The Four Main Types of HMRC Probate Query
Type 1: Property Valuation Query
HMRC questions the value you declared for a property in the estate — usually because it appears lower than comparable sold prices in the area.
Evidence to gather:
- Rightmove and Zoopla sold prices for comparable properties (same type, similar size) sold within 6–12 months of the date of death.
- Land Registry price paid data for the same postcode.
- Any RICS surveyor's report already obtained. If none, consider commissioning one (£300–£700) if the additional IHT at stake makes it worthwhile.
- Evidence of any material factors that reduced the property's value: structural defects, damp, tenanted (with tenancy details and rental yield), shared access, planning restrictions.
- If the property has since been sold, provide the solicitor's completion statement and an explanation of any increase between probate value and sale price (e.g. market improvement, works carried out).
For a detailed guide on navigating property valuation disputes, see our guide on what to do when HMRC queries your property valuation.
Type 2: Gifts and Potentially Exempt Transfers (PETs)
HMRC questions whether all gifts made in the 7 years before death were declared on the IHT400, or asks for evidence to support declared gift amounts.
Evidence to gather:
- Bank statements for the deceased for the 7 years before death — HMRC commonly requests these to identify cash gifts, bank transfers, and regular payments.
- Building society statements, Premium Bond records, and investment account statements for the same period.
- If regular gifts were made from income (exempt from IHT under the normal expenditure from income exemption), a schedule of income and outgoings showing the pattern of giving.
- Evidence of gifts to charity (100% exempt), gifts to spouses (exempt), and annual exemption gifts (£3,000 per year).
- If HMRC has identified a specific transfer, provide a written explanation of what it was — a loan, a gift for a specific purpose, or a refund.
For a full explanation of how the gifting rules work, see our guide on the 7-year gifting rule and IHT.
Type 3: Allowance Claims (RNRB and Transferable NRB)
HMRC questions the basis of a residential nil-rate band (RNRB) claim or a claim to transfer unused nil-rate band from a deceased spouse or civil partner.
Evidence for RNRB queries:
- Evidence that the property was the deceased's residence (utility bills, electoral roll, correspondence to the property).
- Evidence that the property passes to a direct descendant (child, grandchild, stepchild) — copy of the will and, if applicable, confirmation of how the property was transferred.
- Where the estate exceeds £2 million and the RNRB is tapered, a schedule showing how the taper was calculated.
- If a downsizing addition is claimed (where the deceased sold a larger property and moved to a smaller one), evidence of the original property sale and a calculation of the addition.
Evidence for transferable NRB queries:
- Death certificate and grant of probate (or letters of administration) from the first spouse's estate.
- The IHT return (or equivalent) from the first spouse's estate, showing how much of the NRB was used.
- Marriage certificate or civil partnership certificate.
- If the first spouse died before 1984 (when transferable NRB did not exist), note that the claim may be more complex — consider seeking professional advice.
For context on IHT thresholds and allowances, see our guide to probate thresholds and IHT nil-rate bands 2026–27.
Type 4: Missing Supporting Documents
HMRC has found that supporting documents referenced in the IHT400 were not submitted, or that certain supplementary schedules (IHT forms) were incomplete.
Steps to take:
- Review the IHT400 submission to identify which supplementary forms (IHT405 for houses, IHT406 for bank accounts, IHT407 for household goods, IHT415 for jointly owned assets, etc.) were filed and whether all were completed correctly.
- Locate the missing documents and provide them with a covering letter.
- If any documents cannot be located (e.g. original insurance policy documents for a very old policy), explain this in writing and provide the best available alternative evidence (e.g. annual statements, insurer confirmation letter).
How to Write the Response Letter
Structure your response formally and clearly. A well-written letter demonstrates competence and professionalism, which can positively influence how HMRC approaches the correspondence.
Use this framework:
- Reference line. Quote the HMRC reference number from the query letter, the name of the deceased, their National Insurance number, and the date of death at the top of your letter.
- Acknowledge the query.A brief opening sentence: "Thank you for your letter dated [date]. I write in response to your enquiry regarding [issue]."
- Address each question in turn. If HMRC asked three questions, answer them as points 1, 2, and 3. This makes it easy for the HMRC officer to match your answers to their questions.
- Refer to enclosed documents.For each piece of evidence, say "Enclosed at Appendix A is..." and label your documents accordingly.
- Keep the tone factual.Avoid emotive language ("this is entirely unreasonable") or apologies that imply error ("I'm sorry I failed to include..."). Factual, neutral language is more effective.
- Close with a clear offer.End with: "I trust this information addresses your enquiry. Please do not hesitate to contact me if you require any further information."
- Sign and date. Include your name, role (executor or administrator), address, email, and phone number.
Send your response to the address or email specified in the query letter. If posting, use Royal Mail Signed For delivery and keep the tracking receipt. Keep a full copy of everything submitted.
Response Timeframes and What Happens If You Miss Them
HMRC's standard response deadline for a compliance check is 30 days. If you cannot meet this:
- Contact HMRC before the deadline — by phone or in writing — to explain why you need more time and when you expect to respond. A 2–4 week extension for gathering documents is routinely granted.
- If you completely ignore the deadline, HMRC can issue a formal information notice requiring you to provide the documents within a specified period. Non-compliance with an information notice can result in daily penalties of up to £60.
- In extreme cases, HMRC can make a determination of IHT based on its own estimate — which you would then need to challenge through an appeal. This is avoidable with basic communication.
Negotiating: When HMRC Will Accept a Revised Figure
Many HMRC queries — particularly those about property valuations — are resolved by negotiation rather than either side accepting the other's original position. HMRC's approach is generally to secure the correct tax, not to maximise it. If your evidence is credible and your original figure was a genuine attempt at market value, HMRC will typically negotiate rather than insist.
Practical tips for negotiating:
- Propose a specific revised figure supported by your comparables, rather than simply defending the original figure without evidence.
- Acknowledge genuine weaknesses in your position — if two of your three comparables support a slightly higher value, say so, and explain why the third (which supports a lower value) is the most relevant.
- If the HMRC officer has not spoken to the District Valuer Service yet, ask directly whether the matter can be resolved at officer level before being referred to the DVS.
- Document every telephone conversation: note the date, time, the officer's name, and what was agreed. Follow up verbal agreements in writing.
When a Query Escalates to a Formal Investigation
Most HMRC probate queries resolve at the compliance check stage. A query escalates to a formal enquiry or investigation if:
- You do not respond or co-operate.
- HMRC discovers significant discrepancies between the declared estate and information from third-party sources (banks, pension providers, DVLA).
- The estate involves complex offshore arrangements, undisclosed trusts, or large unexplained transactions.
- HMRC suspects deliberate understatement rather than an honest error.
If you receive a letter referring to a "formal enquiry" or containing language about potential fraud, engage a specialist tax adviser immediately before responding. The stakes are significantly higher and the stakes include criminal liability in the most serious cases.
When It Is Worth Paying £500–£2,000 for a Tax Adviser
Handling a standard compliance check yourself is perfectly feasible for most executors. Consider paying for a specialist (chartered tax adviser or probate solicitor) when:
- The additional IHT at stake exceeds £5,000 — a tax adviser's fee is easily justified by saving even a fraction of that.
- The query relates to Business Property Relief, Agricultural Property Relief, or offshore assets — areas requiring specialist knowledge.
- The query has escalated to a formal enquiry or HMRC has proposed penalties.
- You are uncertain whether your original return was accurate and want independent advice before committing to a position.
- The probate process is already delayed and the cost of further delay (IHT interest, estate costs) makes a swift resolution valuable. See our guide on probate delayed by HMRC.
For more on when professional help is worth the cost, see our guide on DIY probate vs using a solicitor.
Frequently Asked Questions
Do I have to respond to an HMRC probate query in writing?
A written response is strongly recommended even if you also speak to HMRC by phone. A written response creates a clear record, makes it easier to include supporting documents, and ensures there are no misunderstandings about what you said.
Can I send my response by email?
HMRC's IHT Compliance team generally prefers written correspondence by post. Some matters can be handled by email if the HMRC officer has given you their email address. For formal submissions with attached documents, a signed letter sent by recorded delivery is safer and creates a more reliable audit trail.
What if I discover an error in my IHT400 while preparing my response?
Disclose it promptly in your response letter. HMRC treats voluntary disclosure of errors (before it discovers them independently) much more leniently — the penalty for a voluntarily disclosed careless error may be reduced to zero or close to zero. If you omit a known error from your response and HMRC later discovers it, the penalty will be higher.
How do I know if the query has been resolved?
HMRC will send a closure letter confirming the compliance check is complete, either accepting the original return or confirming the agreed revised values and any additional tax due. Do not assume the matter is closed just because you have not heard from HMRC for several weeks — follow up if you have not received acknowledgement of your response within 4 weeks.
Can probate be held up by an HMRC query?
An HMRC compliance check does not automatically block the Grant of Probate — probate and IHT compliance are handled separately. However, if HMRC has not yet confirmed the IHT account and issued the IHT421 clearance, the Probate Registry cannot process the application. Resolving the query promptly avoids this delay.
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