Form

How to fill in schedule D39

Updated 12 August 2024

When to complete this form 

You should fill in schedule D39 to tell us about any assets outside of the UK that are included in the transfer.  

Before you start  

Check the deemed domicile rules for Inheritance Tax if you’re unsure if the transferor or settlor was domiciled in the UK.    

You should give all values in pound sterling. Major currencies should be converted at the closing rate from the the London Stock Exchange.    

If any of the foreign assets were owned jointly with others, you should tell us the shares of the assets being reported.  

If the transferor or settlor was domiciled in the UK 

You should complete questions one and 2 if either the: 

• settlor was domiciled in the UK at the time assets were added to the trust   

• transferor was domiciled in the UK at the time of the chargeable event 

You do not need to complete questions 3 to 6.  

If the transferor or settlor was domiciled outside of the UK 

You should complete questions 3 to 6 if all of the following apply: 

• the transferor or settlor was not domiciled in the UK   

• the chargeable event is on or after 6 April 2017  

• the value of the asset is indirectly connected to residential property in the UK   

You do not need to complete questions one and 2. 

If you complete this section, you must also fill in schedule D31.   

Assets outside the UK with value attributable to UK residential property 

If the transferor or settlor was domiciled outside of the UK, you must tell us which foreign assets you’re reporting.  

You will need to give more detail about these assets in questions 4 and 5.  

Interest in a foreign close company  

This is usually a shareholding or a loan account, and the company owns a UK residential property (either directly or indirectly) through other close companies.   

You should tick this box to report the value of the shareholding. This is only the value which can be attributed to UK residential property.  

Interest in a foreign partnership  

You should select this box to report the value of partnership interest. This is only the value which can be attributed to UK residential property.  

Loans to individuals, trustees or partnerships  

You need to tell us about any loan that is made to an individual, trustee or partnership if any part of the loan has been used by the debtor to acquire UK residential property. This can be directly or indirectly and is known as a ‘relevant loan’.  

You should tick this box to report the value of the loan. This is only the value which can be attributed to the acquisition of UK residential property.   

Loans to companies are not ‘relevant loans’ and should be reported as an interest in a foreign close company instead.   

If any interests in close companies or partnerships have been disposed of  

You need to tell us if either of these interests have been disposed of in the 2 years leading up to the chargeable event. This includes loans that have been repaid.  

You will only be reporting the value of assets received in return and valued at the time of the chargeable event. This value should not be more than the value at the date of disposal.  

Assets provided as security  

You must tell us if the transferor or trustee has provided security or a guarantee in favour of the creditor of a relevant loan.   

You should select this box to report the value of the secured assets. This is only the value that the value can be attributed to UK residential property. 

Assets outside the UK where tax may not be paid by instalments 

If the transferor or settlor was domiciled outside of the UK you should only tell us about the assets that relate to your answers in question 3.  

If the transferor or settlor was: 

• domiciled in the UK — complete question one 

• domiciled outside of the UK — complete question 5 

You should give details of any foreign stocks and shares, including those listed on the:  

• World Stock Markets  

• National Association of Securities Dealers Automated Quotations (NASDAQ)  

• European Association of Securities Dealers Automated Quotations (EASDAQ)  

You should also tell us about any other foreign assets such as bank accounts and loans due.   

List any debts and liabilities that you’re deducting from the foreign assets. The rules about debts and liabilities also apply to those deducted from foreign assets. These liabilities are to individuals or organisations outside of the UK.  

If your total for box FP5 or FP17 is a minus figure, put a zero in the box. Carry forward the deficit to the main IHT100 form in the section ‘Liabilities, exemptions and reliefs’. You should also put a zero in box F7 or FP19.  

Your figure for box FP7 or FP19 should be carried forward to the main IHT100 form in the section ‘Foreign assets where tax may not be paid by instalments’. 

Assets outside the UK where tax may be paid by instalments 

If the transferor or settlor was domiciled outside of the UK you should only tell us about the assets that relate to your answers in question 3.  

The rules about the type of assets where tax may be paid by instalments are the same for foreign assets as they are for assets in the UK. For example, land and buildings, unlisted shares, and interests in businesses.  

If your total for box FP10 or FP22 is a minus figure, put a zero in the box. You should carry forward the deficit to the main IHT100 form in the section ‘Liabilities, exemptions and reliefs’. You should also put a zero in either box FP12 or FP24.  

Your figure for box FP12 or FP24 should be carried forward to the main IHT100 form in the section ‘Foreign assets where tax may be paid by instalments’.  

What happens next

You should use the figures in this schedule to help you fill in the IHT100 series form.

You must send this form alongside the completed IHT100 series form. Make sure you include copies of any documents we’ve asked for.

Get help 

You should contact the Inheritance Tax helpline if you need help completing this form.