.png)
.png)
Investigations into taxpayers believed to have under-reported the value of inherited residential property raised £271m in 2018-19, a 9% increase from £249m in 2017-18, according to private client law firm Wilsons.
This increase is largely a result of it becoming easier for HMRC’s investigators to check property valuations against Land Registry databases on sale prices for similar properties. HMRC also uses tools such as Google ‘Street View’ to check for extensions or other improvements that may have increased a property’s value since its last sale.
Rupert Wilkinson, partner at Wilsons said: ‘All property values that look out of kilter with the local market are now likely to be checked by HMRC. Inadvertently undervaluing a property could leave bereaved families facing big fines for unpaid inheritance tax.’
