Probate vs inheritance tax: what's the difference, and who helps with what
Last checked September 2026 by Naomi Jackson
Short answer
Probate is a court document proving who can deal with the estate, issued by HM Courts and Tribunals Service. Inheritance tax is a tax on the estate's value, owed to HMRC and due by the end of the sixth month after death. Where tax is payable, it generally has to be paid before the grant is issued.
- Probate
- HMCTS, £526 court fee in England and Wales
- Inheritance tax
- HMRC, due end of the sixth month after death
- Order
- Tax reported and paid first, grant second
- Nil rate band
- £325,000, plus up to £175,000 residence band
- Who helps
- Solicitor for the grant, accountant or adviser for the tax
These are two separate processes, run by two separate bodies, with two separate deadlines. They get confused because one blocks the other.
What is the difference between probate and inheritance tax?
Probate is about authority. It answers the question 'who is allowed to deal with this money', and it is granted by a court. It costs a flat fee and has nothing to do with how much the estate is worth, beyond the £5,000 point where the fee starts.
Inheritance tax is about money owed. It answers 'does the estate owe the Treasury anything', and it is administered by HMRC. It depends entirely on what the estate is worth and who is inheriting.
An estate can need one, both or neither. A £2 million estate passing entirely to a spouse pays no inheritance tax but will certainly need a grant. A £60,000 estate with a sole-name savings account may need a grant with no tax anywhere near it.
Why does the tax come first?
Because HMCTS will not issue the grant until HMRC has what it needs. Where a full account is required, the executor submits the IHT400 to HMRC, pays the tax due, and waits for HMRC to issue a code confirming it has been dealt with. Only then can the probate application go in.
That sequencing is the single biggest cause of delay on taxable estates, and it creates the chicken and egg problem executors complain about: tax is due before the grant, but the grant is what unlocks the money to pay it. The way round it is the direct payment scheme, where banks pay inheritance tax straight to HMRC from the deceased's accounts before the grant exists.
What are the deadlines?
They are different, and only one of them is real.
- Inheritance tax: due by the end of the sixth month after the month of death. Interest runs from that date
- Inheritance tax account: the IHT400 must reach HMRC within 12 months of the end of the month of death
- Probate: no deadline at all. You can apply years later, though delay causes practical problems
- Tax on property can be paid in ten annual instalments, though interest still applies
When is inheritance tax actually due?
Most estates pay nothing. The nil rate band is £325,000, and a residence nil rate band of up to £175,000 can apply where a home passes to direct descendants. Anything passing to a spouse or civil partner is exempt, and an unused nil rate band can transfer to them, so a surviving spouse's estate can often pass up to £1 million between the two allowances before tax.
Above the available allowances, the rate is 40 per cent, or 36 per cent where at least 10 per cent of the net estate goes to charity.
Who helps with which part?
Match the professional to the problem, and do not pay one to do the other's job.
- The grant itself: you, or a fixed-fee grant-only service, or a probate solicitor. This is form work and it is priced accordingly
- A complicated tax position: an accountant or a chartered tax adviser. Business or agricultural relief, trusts, gifts within seven years, non-UK assets
- Valuations that HMRC may challenge: a RICS surveyor for property, a specialist valuer for art, antiques or a share in a business
- The whole administration: an estate administration firm or a solicitor doing full administration, which includes both of the above
- Ongoing advice for the beneficiaries: a financial adviser, once the money has landed, which is a different job again
Do you need a solicitor for either?
Not necessarily for either. The probate application is a form most executors can complete, and HMCTS designed the online service for personal applicants. A simple inheritance tax position, where the estate is under the allowances and there are no lifetime gifts to worry about, is also manageable.
Get help where the tax is genuinely complicated, where a relief is being claimed, where there are trusts or foreign assets, or where you are being asked to sign a declaration you do not fully understand. Executors are personally liable for getting the tax position right.
Useful tools for this
Free tools to help you work out what applies before you pay for help.
Frequently asked questions
Is probate the same as inheritance tax?
No. Probate is a court document from HMCTS proving who can deal with the estate. Inheritance tax is a tax on the estate's value owed to HMRC. An estate can need one, both or neither.
Do you pay inheritance tax before or after probate?
Before, in most cases. Where tax is payable HMRC has to be paid and issue confirmation before HMCTS will issue the grant. Banks can pay HMRC directly from the deceased's accounts under the direct payment scheme.
Is the £526 probate fee inheritance tax?
No. It is a flat court fee for the application in England and Wales, the same whatever the estate is worth. Inheritance tax is separate and depends entirely on the estate's value.
When is inheritance tax due?
By the end of the sixth month after the month of death, with interest running from that date. The full account, the IHT400, must reach HMRC within 12 months of the end of the month of death.
Who should I ask about inheritance tax, a solicitor or an accountant?
For a straightforward estate under the allowances, often neither. For reliefs, trusts, lifetime gifts or business assets, an accountant or chartered tax adviser. A probate solicitor handles the grant and can bring in tax advice where it is needed.
More guides in this series
Probate and inheritance tax: what's changed
The probate fee is £526, most applications are now online, and pension pots come into inheritance tax from April 2027. What that means in practice.
Estate administration vs probate
Probate is one document. Estate administration is the whole job, usually six to twelve months. What each covers, and where the grant fits in.
Do I need probate? The full report
Probate is assumed far more often than it is needed. Joint assets pass automatically and most banks release up to £50,000 without a grant. The full picture.
Related guides
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Probate explained
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