The Gazette 1961 - 64

assets when lodged. The Revenue Commissioners point out that in a great many cases delays are occasioned by reason of the fact that schedules of assets have to be returned with queries, sometimes more than once. In the normal course of events, estate duty is assessed within three weeks of the presentation of the schedule of assets. If the schedule has to be returned with queries there will probably be a further delay of three weeks when it is relodged with the queries dealt with. There may be even further queries which will, of course, lead to further delays. Whereas it is not possible, especially in cases of some complexity, to deal with all possible queries in advance when completing the affidavit and schedule of assets there are certain matters which continually give rise to queries and which could be dealt with when the forms are being completed in the first instance. The Revenue Commissioners have referred to the following matters and the Society has agreed to bring them to the notice of members. 1. Completion of the affidavit or account and attention to direction thereon Delay will often be avoided if all parts are filled up fully and unambiguously and the instructions in the side notes complied with. Certain paragraphs of the Affidavit (on form A-4R those numbered 10 to 12) are designed to elicit the information whether there is or is not other property passing. If these are not completed the examiner is left in doubt as to whether other property passed on the death. If the queries and requisitions incorporated in the affidavit (page 3 of A-4R) are either not all dealt with or are replied to ambiguously, it is necessary to return the affidavit to the solicitor for rectification or clarification. A side note in the Inland Revenue Affidavit draws attention to section 21, Finance Act, 1956, and indicates the information which is required so that it may be determined whether the securities in the estate qualify for the relief given by that section. If this side note is overlooked affidavits in which such securities appear have to be queried for the relevant information. The forms on which applications for refunds of duty are made indicate that the applications should be accompanied by the receipted account showing payment of the duty to be refunded. If this instruc tion is ignored the application has to be referred back to the solicitor. 2. Goodwill When the assets include a business (other than that ot licensed vintner) it is not sufficient merely to insert a value tor the goodwill or say that it was of

no value. A statement should be annexed showing the basis of valuation or the grounds on which it is considered that there was no goodwill and copies of the profit and loss accounts and balance sheets for the three years prior to death should be forwarded with inland revenue affidavit, if this is possible. 3. Deduction of certain classes of debts: (a) Debts for necessaries are not allowable in the estate of a married woman (these, generally, being the husband's liabilities unless it can be demonstrated either that she had in fact made herself primarily liable for them or that she was liable, though not primarily, and the husband was unable to pay. Where allowance for such debts is claimed a statement of the grounds on which the claim is made should be forwarded with the affidavit or account. (V) Bank letters certifying overdrafts should always state the security held for the over draft. Where the security involves Irish and non-Irish property the overdraft should be apportioned between the two classes of security. (c] An income tax deduction for estate duty purposes in substantial cases should be vouched by a letter from the Inspector of Taxes certifying the amount of liability for the period to date of death. 4' Locality of Assets Certain classes of assets may have either an Irish or non-Irish locality and if they are returned as foreign assets without explanation queries have to be raised to clarify the position. (a) Policies of Assurance : It should be stated whether these are under hand or under seal; and if under hand only whether any place of payment is specified. If under seal it should be stated where the policy was found at the date of death. (b} Bearer Securities : It should be stated where the bonds or share certificates were actually situate at the date of death. (c) Securities which may be issued either in bearer or registered form, e.g., Shell Transport and Trading Company Ordinary and British American Tobacco Ordinary are stocks of this kind which crop up very frequently. In many cases enquiry has to be made as to the form in which they are held. This query would be avoided if it were stated in the first instance whether they were in bearer or registered form and, if in bearer, where the stock certificates were found at date of death.

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