Chapter IHTM24161
| Published date | 20 March 2016 |
| Record Number | IHTM24161 |
| Court | HM Revenue & Customs |
| Issuer | HM Revenue & Customs |
Before you can refer property on which Agricultural Relief has been claimed to the DV, you need to consider the following issues:-
- Is all the property ’occupied for the purposes of agriculture?’ (IHTM24060) IHTA84/S117
- What rate of relief (IHTM24140) is applicable?
- If any property would fail to qualify for AR, would it qualify for business relief (IHTM25130) instead and, if so, at what rate? (IHTM25151)
- Does all of the property qualify as “agricultural property”?(IHTM24030)” IHTA84/S115 (2)
- If the property qualifies for AR, what is the agricultural value (IHTM24150) of the agricultural property? IHTA/S115 (3)
Please remember:
It is our responsibility to consider questions about the eligibility to AR, although the DV will often be able to provide helpful information and advice, particularly in relation to the last two points above.
You should consider the deduction for agricultural relief thoroughly before you make your referral to the DV.
In handling AR issues of a more complex nature, you should seek advice first from members of your own teams, particularly those with more experience, as they may have encountered the issue before.
Please also remember that you can always get advice from Technical on handling AR issues You can have an informal chat or make a formal referral.
If, after receiving replies to your initial enquiries regarding a claim for agricultural relief, you need to ask the parties for more information, you should let the parties know that the DV will be consulted when you are satisfied that you have enough information regarding the claim to make the appropriate referral.
If you become aware that the property is about to be sold, or improvements are about to be made post-death and before the DV has had a chance to inspect the property, it may be sensible to refer the matter to the DV even if the question of occupation for agricultural purposes has not yet been fully resolved. You will need to make this clear to the DV by means of a covering memo. The further information can then be sent when it has been obtained.
If you have a complicated claim for relief and you are unsure if you have enough information to make a referral to the DV, you can always have an informal chat with a member of Technical, or other specialist, who will advise whether or not a referral to the DV is appropriate at that...
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