IHTM33124 - Loss on sale of land: changes in the interest or underlying land: structurally unsound property
Where there has been a sale of a structurally unsound property which was repaired between the date of death and the date of sale (IHTM33071) the sale price (IHTM33072) is reduced because the property has been improved, IHTA84/S193 (4).
You will need to ask the VOA (IHTM23203) for the value of the property:
- at the date of sale, reflecting the condition of the property as at the date of date of death excluding the value of the insurance policy, and
- at the date of death in its defective or damaged state.
»Ê¹ÚÌåÓýapp difference between the two values is the value of the loss on sale claim. »Ê¹ÚÌåÓýapp value of the policy or right of action should be treated as a separate asset of the estate.
You should refer the case to Technical if
- you have any doubt or difficulty with applying these instructions to your case, or
- the property is sold before being repaired.