IHT419 is the schedule you send with form IHT400 when you want to deduct certain debts of the person who died from the value of their estate. It covers loans and overdrafts, bills someone else paid on their behalf that weren't repaid, liabilities linked to life assurance policies, and debts the deceased guaranteed for someone else.
Everything here comes from the GOV.UK IHT419 page, the IHT419 schedule (HMRC 01/18) and HMRC's Inheritance Tax Manual, as of October 2026.
What IHT419 is for, and where the totals go
Fill in IHT419 if you want to deduct any of these from the estate on IHT400:
- Amounts spent on the deceased's behalf that haven't been repaid.
- Loans or overdrafts, including loans from close friends and relatives.
- Liabilities linked to a life assurance policy or investment bond where the sum assured isn't fully reflected in the IHT400.
- Debts the deceased guaranteed on behalf of another person.
Include the debts themselves on IHT400 at box 80 or box 82, as appropriate. IHT419 is where you give HMRC the detail behind them.
The six questions on the schedule
| Box | What HMRC asks |
|---|---|
| 1 | Did anyone pay for things on the deceased's behalf, such as household bills, that's now claimed as a deduction? |
| 2 | Did the deceased have outstanding loans, including from friends and relatives? Lender, date, purpose, security and amounts |
| 3 | Are there liabilities tied to a life assurance policy or investment bond not fully reflected elsewhere? |
| 4 | Did the deceased guarantee anyone else's debts, and were they called on to repay? |
| 5 | Did the deceased make a gift to someone after 18 March 1986 and later borrow from that same person? |
| 6 | Anything else HMRC needs to know |
The conditions for deaths on or after 17 July 2013
For deaths on or after 17 July 2013, a liability has to meet conditions before it can be deducted. The deduction can't be allowed if:
- the borrowing was used to acquire, maintain or enhance excluded property, whether or not the debt is repaid, or
- the debt isn't repaid from the estate.
There are two exceptions: the excluded property has since been sold and the proceeds are now liable to tax, or the excluded property itself has become taxable; or there's a real commercial reason for not repaying the debt and not repaying doesn't give a tax advantage. If one applies, explain why at box 6 or in the additional information boxes on pages 15 and 16 of the IHT400.
A second rule covers reliefs. If an allowable liability incurred on or after 6 April 2013 was used to acquire, enhance or maintain property qualifying for Agricultural Relief, Business Relief or Woodlands Relief, it must be deducted from that property before the relief is worked out.
Bills a relative paid in the last months
Box 1 is where families claim back what they spent. HMRC wants the name of the person who paid, their relationship to the deceased, what was bought, why the deceased's own funds weren't used and why it wasn't repaid during their lifetime. HMRC's manual says that if someone paid for groceries and other incidental costs in the last few months of life, the deduction should generally be allowed, since reaching the deceased's own account can be hard during a serious illness. Large claims by someone who lived with the deceased get a closer look, especially household repairs where that person is to inherit the property.
The gift-then-loan rule
Box 5 deals with a trap set in 1986. Where the deceased gave something to a person and later borrowed from that same person, the debt is generally not allowed as a deduction, under section 103 of the Finance Act 1986. It applies to debts created on or after 18 March 1986. If a debt is disallowed this way, repayments of it are treated as potentially exempt transfers when they were made. If the gift is already described on IHT403, give just enough detail to identify it.
When the 1986 rule doesn't bite, and double charges
HMRC's manual says the restriction doesn't apply if you can show the original transfer by the deceased wasn't a transfer of value and the property wasn't part of associated operations. Where a gift and a disallowed debt would tax the same value twice, the Inheritance Tax (Double Charges Relief) Regulations 1987 step in: broadly, whichever of the two produces the higher tax stays chargeable and the other is reduced. HMRC's example is a £10,000 cash gift followed weeks later by a £10,000 loan back from the same person.
Evidence to send
- Copies of any written evidence of each loan.
- For box 3, a copy of the policy documents and any relevant trust or loan documents.
- For box 4, a copy of any written evidence of the guarantee.
For help, the IHT419 lists the Inheritance Tax helpline on 0300 123 1072, or +44 300 123 1072 from outside the UK.
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The verdict
Only use IHT419 for the debts it lists, back every figure with paperwork, and expect HMRC to ask why a debt wasn't repaid during the deceased's lifetime. Family loans and bills paid in the last months are allowed far more often than people fear, provided the reasons are written down clearly and the debt is paid from the estate.
Frequently asked questions
What is IHT419?
It's the schedule sent with form IHT400 to deduct certain debts owed by the deceased, such as loans, overdrafts and bills paid on their behalf.
Where do the debts go on the IHT400?
Include them on IHT400 at box 80 or box 82, as appropriate, with the detail on IHT419.
Can I deduct bills I paid for my parent before they died?
Yes, if they're claimed on box 1 with what was paid, why the deceased's own funds weren't used and why it wasn't repaid; HMRC generally allows routine costs in the last few months.
Can a debt be deducted if it isn't repaid from the estate?
Generally no, for deaths on or after 17 July 2013, unless there's a real commercial reason for not repaying and no tax advantage.
What is the gift and loan rule on IHT419?
Where the deceased gave a gift after 18 March 1986 and later borrowed from the same person, the debt is generally not deductible.
Is there a Welsh version of IHT419?
Yes. GOV.UK publishes the schedule in Welsh as Treth Etifeddiant: dyledion sy'n ddyledus gan yr ymadawedig (IHT419).
What evidence goes with IHT419?
Copies of written evidence of loans and guarantees, plus policy documents and any trust or loan papers for liabilities linked to life assurance.
What is the HMRC Inheritance Tax helpline number?
0300 123 1072, or +44 300 123 1072 from outside the UK.
