Detailed guide
Quick answer
Where Inheritance Tax is due, you will **usually need to make a payment towards it before probate can be granted**. GOV.UK also says the tax is generally due by the **end of the sixth month after the person died**.
The practical task is therefore to confirm the likely tax bill and funding route before the probate application depends on them.
The deadline that catches people out
Inheritance Tax is generally due by the **end of the sixth month after the person died**. For example, if the person died in January, the payment deadline is 31 July.
HMRC can charge interest if payment is made after the due date.
This is why executors often find that the tax stage must be addressed before the grant application can move forward cleanly.
Why this matters before probate
People often assume the order is:
- get probate
- access estate money
- pay inheritance tax
For some estates, that is the wrong sequence. Where tax is due, you will often need to make a payment toward it before the grant is issued.
That creates a cash-flow problem as much as a tax problem.
The main ways tax is commonly paid
The GOV.UK payment guidance sets out several routes, including:
- payment from your own bank account
- payment from a joint account with the deceased
- payment from certain accounts in the deceased's name
- instalment arrangements for qualifying assets in some cases
There are also routes involving specific asset types and other arrangements, depending on the estate.
Practical steps before payment
- confirm the estate's likely inheritance-tax position
- get the payment reference number needed for the tax payment route
- decide where the payment is actually going to come from
- record the payment evidence and note what part of the estate position it supports
- keep the probate and tax records aligned so the next stage is not being built on outdated figures
The payment is much easier to manage when it is part of the estate plan, not a last-minute surprise.
When instalments may be relevant
Some estates can pay inheritance tax by yearly instalments on qualifying assets.
That does not remove the need to understand the rules carefully. It simply means the funding route may be different from paying the whole liability immediately in one amount.
Where the estate may depend on instalments, record that early and make sure the evidence for the relevant asset is strong.
If the estate does not have ready cash
This is one of the most stressful points in the process. An executor may know tax is due but not yet have unrestricted access to estate funds.
At that point, the important questions are:
- can the payment be made from a route linked to the deceased's accounts?
- does the estate qualify for an instalment route for part of the tax?
- is an earlier payment on account needed?
- does the probate timeline depend on resolving this before the application can move forward?
Those questions are easier to solve when the estate record already shows which assets are liquid and which are not.
The records you should keep
At a minimum, keep:
- the payment reference
- evidence of how much was paid and when
- the source of the money used
- any instalment or funding decision made
- correspondence that explains the payment status
These records matter not only for the tax file, but also for the final estate accounts.
Using Estate Suite at the payment stage
Estate Suite is most useful here when the tax payment is linked back to:
- the IHT route chosen
- the supporting tax documents
- the relevant money movement in Ledger
- the task or note explaining what still remains outstanding
That way, the estate does not end up with the tax payment recorded in one place and the reason for it forgotten in another.
Good next reads
- Probate and Inheritance Tax: What Happens First?
- Which Inheritance Tax Form Do I Need for Probate?
- IHT Reliefs and Exemptions Claims Guide
- How to Apply for Probate in England and Wales
FAQ
Do you have to pay all Inheritance Tax before probate?
Not always. GOV.UK says you usually need to make a payment towards any IHT due before the grant. Instalments may be available for qualifying assets, and HMRC has a grant-on-credit route where funds cannot be released before probate.
When is Inheritance Tax due after a death?
It is generally due by the end of the sixth month after the month in which the person died. Interest can apply after the due date.
Can IHT be paid from the deceased person's bank account?
Some banks and financial institutions can send money directly from the deceased's account to HMRC under the Direct Payment Scheme. Check the current GOV.UK process and the institution's requirements.