Last October, the Inheritance Tax rules were changed so that you can carry forward a spouse's unused Nil Rate Band, which means that a married couple or those in a civil partnership could effectively receive the benefits of two Nil Rate Bands.

However, this carry forward must be claimed. It is not an automatic right. As reported previously, on the second death the claim must be made via form IHT 216. However, HMRC are complaining that less than 30% of claims are being accepted, because of insufficient documentation.

This goes to show the importance of collecting the correct documentation on first death, to allow the claim to be made on second death. If you do not have somewhere secure to keep these documents, or more importantly, if your children or executors do not know where they are kept, then you need to remedy this now or the tax will be payable.