"RobertL" wrote in message
...
On Sep 21, 9:05 pm, Don Aitken wrote:
On Sun, 21 Sep 2008 17:25:12 +0100, "

wrote:
A relative inherited a large sum of money but died before the money
was actually paid out (some nine months later). What happens to this
money?

It forms part of his estate, and passes according to the terms of his
Will or the intestacy rules.

--
Don Aitken
Mail to the From: address is not read.
To email me, substitute "clara.co.uk" for "freeuk.com"


There is a reduction in inheritance tax if the inheritor dies within 5
years.

http://www.hmrc.gov.uk/CTO/customerguide/page13-2.htm

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Firstly this is only for married couples (or civil partnerships). Secondly
this is reduction on the IHT payable because of the inheritors death.

IHT is paid by the estate. Except for transfers to spouse or charity, there
are no reductions for the status of the inheritor.