IHT417: How to Report Foreign Assets for Inheritance Tax

This guide follows Schedule IHT417 (version HMRC 12/25) and the HMRC IHT400 Notes, as of October 2026.

Who has to fill in IHT417

Date of death	Fill in IHT417 if the deceased
On or after 6 April 2025	Was a long-term UK resident and owned assets abroad
On or before 5 April 2025	Was domiciled, deemed domiciled or formerly domiciled in the UK and owned assets abroad

The IHT400 Notes define a long-term UK resident as someone who was UK resident for at least 10 out of the last 20 tax years before the tax year of death. Someone who's left the UK after becoming long-term resident stays in scope for a minimum of 3 years and a maximum of 10 years, depending on how long they lived here. If the deceased wasn't a long-term UK resident, the Notes send you to Schedule IHT401a instead, and the rest of IHT400 then covers UK assets only.

The two halves of the form

Part	What goes in it	Net total goes to
Boxes 1 to 5	Houses, land and buildings, businesses or business interests, and shares that gave the deceased control of a company	IHT400, box 97
Boxes 6 to 10	Every other foreign asset, for example bank accounts and cryptoassets	IHT400, box 98

Each half follows the same pattern: list the assets with the value in the foreign currency, the exchange rate and the sterling value at the date of death, then deduct foreign liabilities, then deduct any exemptions and reliefs. If the net figure's a minus amount, you write 0 and use the IHT400 Notes on dealing with a deficit.

The Channel Islands and the Isle of Man count as abroad

This is the detail that catches people out. For Inheritance Tax purposes, the Channel Islands and the Isle of Man are not in the UK, so a Jersey savings account or a Manx property belongs on IHT417, and it doesn't go on the UK schedules. The Notes add one exception the other way round: foreign shares listed on the London Stock Exchange aren't reported here.

Converting currencies the way HMRC expects

Show each value in its own currency first, then show how you converted it to pounds. The form says major currencies should generally be converted at the closing mid-point figure in the published spot rates against the pound for the date of death, and less common currencies at the rates in the Financial Times guide to world currencies. Keep a note of the source and date of every rate you've used, because HMRC can check each line.

Jointly owned property abroad

Joint ownership rules abroad often work differently from the UK, so the Notes say you must not put jointly owned foreign property on Schedule IHT404, jointly owned assets. List it on IHT417 and explain the joint ownership in the additional information boxes of IHT400.

Loans secured on a foreign property

Box 2 is for liabilities against the property assets. There's one trap: if a loan charged on a foreign property arose in the UK, the form tells you to include it in box 80 of IHT400 and not on IHT417. Only foreign liabilities come off the foreign totals, so don't deduct the same UK loan twice.

What HMRC wants to see for a property or business

• For a house or land: a full description, any professional valuation, a plan and photographs if you have them.
• Comments on its condition, whether it's remote or urban, extra facilities such as a swimming pool, planning permission, and whether a sale is imminent.
• For a business or control holding: copies of the latest accounts and a calculation showing how you reached the value.

Foreign tax already paid

If a tax similar to Inheritance Tax has been paid abroad on an asset, you may be able to deduct double taxation relief. The IHT400 Calculation shows how to work it out. Box 11 also asks whether any of the assets pass under a foreign will, and which country, because a separate foreign will can mean separate personal representatives for those assets, even though they're still part of the estate.

Step by step

1. Confirm the deceased's status: long-term UK resident (deaths from 6 April 2025) or UK domiciled (earlier deaths).
2. Split the foreign assets into the box 1 group (property, businesses, control holdings) and the box 6 group (everything else).
3. Get date-of-death values in each currency, convert them, and record the rate used.
4. Deduct only foreign liabilities, then exemptions and reliefs.
5. Copy box 5 to IHT400 box 97 and box 10 to box 98, and answer the foreign will question.

The totals then feed into form IHT400, alongside the UK schedules.

The verdict

IHT417 isn't complicated, but it's where estates with a holiday home or an overseas account go wrong: the wrong residence test, a Jersey account left on a UK schedule, or a UK mortgage deducted twice. Settle the long-term residence question first (it's the one that decides everything else), convert every value with a recorded rate, and keep UK and foreign liabilities apart. HMRC's Inheritance Tax helpline is 0300 123 1072, or +44 300 123 1072 if you're calling from outside the UK.

Frequently asked questions

What is IHT417 used for?

It lists the deceased's assets outside the UK, such as property, business interests, control holdings, bank accounts, shares and cryptoassets, as part of form IHT400.

Who needs to fill in IHT417?

For deaths on or after 6 April 2025, the estate of a long-term UK resident who owned assets abroad. For earlier deaths, the estate of someone domiciled, deemed domiciled or formerly domiciled in the UK.

Are Jersey or Isle of Man assets foreign for Inheritance Tax?

Yes. The Channel Islands and the Isle of Man are not in the UK for Inheritance Tax, so their assets go on IHT417.

Where do the IHT417 totals go on IHT400?

The net total of foreign property, businesses and control holdings goes to box 97, and the net total of other foreign assets goes to box 98.

Do jointly owned foreign assets go on IHT404?

No. Jointly owned foreign assets go on IHT417, with details of the joint ownership in the additional information boxes of IHT400.

How do I convert foreign currency on IHT417?

Show the value in the foreign currency at the date of death, then convert it to pounds, generally at the closing mid-point spot rate for major currencies.