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  • RE: Tax reclaim relating to income from discretionary trust

    I would welcome advice on the treatment of Income from the estate of a deceased person (my Mother). It relates entirely to savings income and dividend income (box 17 & 18) on SA107. I have been provided with the figures from the solicitor handling my Mothers estate on a form R185. The amount I inherited from my Mother on these 2 areas was in 2023/24 and the solicitor has already paid the tax due on both amounts, before the distribution to beneficiaries, and it has been agreed with HMRC. When I append SA107 (box 17 & 18 completed) my tax liability for 23/24 (compared to what is was before appending SA107)increases significantly by approx 45% of the amount received from my mothers estate. Why am I paying further income tax over and above what was paid before the distribution to beneficiaries? Many thanks