IHT408 is a short Inheritance Tax schedule that lets the people who inherited a deceased person's household and personal goods give some or all of them to a qualifying charity and deduct Charity Exemption from the estate, without signing a formal instrument of variation. Every beneficiary who inherited the goods signs it, and the value given is included in box 92 of form IHT400.
This guide follows Schedule IHT408 (version HMRC 05/24), the IHT400 Notes and HMRC's Inheritance Tax Manual, as of October 2026.
Why this form exists
When a family takes clothes, furniture or ornaments to a charity shop after a death, that's a gift by the beneficiaries, not a charitable bequest by the person who died. Normally the estate could only deduct Charity Exemption for it through an instrument of variation. HMRC's manual explains that IHT408 is a standard form that lets the donation be treated as if the deceased had left it to charity, under section 142 of the Inheritance Tax Act 1984, without that separate deed.
When to use it, and when not to
| Situation | Use IHT408? |
|---|---|
| Beneficiaries give inherited household goods to a charity shop | Yes |
| Beneficiaries give only some items, such as a dining table and chairs | Yes, and list them in the schedule of items |
| The will itself leaves the goods to a charity | No: the form says not to use it for goods passing to charity under the will |
| Gifts of other assets, such as cash or shares, to charity by beneficiaries | No: IHT408 covers household and personal goods only |
The proof HMRC asks for
If the deceased died on or after 6 April 2012, you must send evidence that the charity knows which goods it's getting. The IHT400 Notes say copies of an exchange of letters showing the charity knows it's to receive, or has received, the goods are enough. For a local charity shop, a copy of the receipt for the goods is enough. So ask the shop for a receipt when you drop the bags off, and keep it with the estate papers.
What counts as a qualifying charity
From 1 April 2023, the form says a qualifying charity is one that's established for charitable purposes, is a UK registered charity for Inheritance Tax purposes, and is run by managers who are fit to manage it. The declaration asks for the charity's full name, its country of establishment and its HMRC charity reference number, if you have it.
Who signs
All the people who inherited the household and personal goods must sign the declaration. The form has space for four people, each giving their full name, signature and the date. In signing, they confirm they're entitled to the goods under the will or intestacy, and they choose one of two options:
- All the household and personal goods go to the named charity or charities.
- Only the goods shown in the schedule of items go to the named charity or charities.
The declaration also says the beneficiaries intend section 142(1) of the Inheritance Tax Act 1984 and section 62(6) of the Taxation of Chargeable Gains Act 1992 to apply, which is the wording that does the job of a variation.
Filling in the schedule of items
If only some goods are going, page 2 lists them with the charity's name and the value. You can be specific, such as a dining table and four chairs, or general, such as clothing, kitchen implements or boxes of ornaments. The total is included in box 92 of IHT400.
The goods still go on IHT407
Here's the step people skip. The Notes say all the items donated this way must still be included on Schedule IHT407, household and personal goods. IHT407 puts the goods into the estate at their open market value, and IHT408 then takes the charity's share back out as an exemption. Leave them off IHT407 and the two forms won't reconcile.
Step by step
- Value all household and personal goods on IHT407 as normal.
- Agree with every beneficiary which goods go to which charity.
- Get a receipt from the charity shop or a letter from the charity.
- Complete the declaration on IHT408, with every beneficiary signing.
- List the specific items on page 2 if only some goods are given.
- Include the value in box 92 of form IHT400 and send IHT408 with the account.
Mistakes to avoid
- Using IHT408 for goods the will already leaves to charity: those are claimed through the will, not this form.
- Collecting signatures from some beneficiaries but not all of them.
- Dropping goods at a charity shop without asking for a receipt.
- Leaving the donated goods off IHT407, so the estate total and the exemption don't match.
- Naming an organisation that isn't a UK registered charity for Inheritance Tax purposes.
Each one can turn a simple deduction into a letter from HMRC asking for an instrument of variation after all. GOV.UK also publishes a Welsh-language version of IHT408, and HMRC says to read the IHT400 Notes before you fill it in, because the charity rules there apply to this form too.
The verdict
IHT408 is one of the kindest forms HMRC has: it turns a family's trip to the charity shop into a tax deduction with a single signed page. The two things that make it work are a receipt from the charity and every beneficiary's signature, so collect both at the time. HMRC's Inheritance Tax helpline is 0300 123 1072, or +44 300 123 1072 if you're calling from outside the UK.
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Loans and debts owed to the estate have their own form, explained in the debts owed to the estate form guide.
Related: loans: guidelines and how to pitch.
Frequently asked questions
What is IHT408?
It's a schedule that lets beneficiaries give inherited household and personal goods to charity and deduct Charity Exemption without an instrument of variation.
Who has to sign IHT408?
All the people who inherited the household and personal goods must sign the declaration.
What proof do I need to send with IHT408?
For deaths on or after 6 April 2012, evidence the charity knows it's receiving the goods, such as an exchange of letters or a charity shop receipt.
Can I use IHT408 if the will leaves goods to charity?
No. The form isn't for household and personal goods that pass to charity under the deceased's will.
Do donated goods still go on IHT407?
Yes. All items donated this way should also be included on Schedule IHT407.
Where does the IHT408 value go on IHT400?
The value of the goods given to charity is included in box 92 of form IHT400.
