UK households can 'escape' HMRC demand with 'little known' document Quilter, a wealth and financial adviser, said families who had paid IHT after a relative who owned shares had passed away may be able to apply for 'loss on sale relief'. UK households are being urged to claim 'little known' inheritance tax relief that could save you thousands. Quilter, a wealth and financial adviser, said families who had paid IHT after a relative who owned shares had passed away may be able to apply for 'loss on sale relief'. If the assets are sold for a lower price within 12 months of the owner dying then families can reclaim the difference. Shaun Moore, tax and financial planning expert at advice firm Quilter explained that IHT is paid at 40%. ‌ So if someone sold shares that had been worth £10,000 but were now only worth £6,000, they would pay £2,400 instead £4,000 in tax and be able to reclaim the difference. Article continues below READ MORE Exact dates next UK mini-heatwave start and end with 72-hour scorcher set to hit Moore said claims must be submitted using the official HMRC form (IHT35) and supported by documentation that includes the value of the shares at death and the actual sale prices ‌ "Given the recent volatility in the stock market, this relief is particularly relevant and could be music to many executors’ ears," he said. "Executors of estates where the deceased held significant investments in publicly traded shares, and estates that have experienced a decline in the value of these shares within 12 months of the date of death, can benefit massively from this relief. "Executors should monitor the market value of shares and consider the timing of sales to maximise potential relief. For anyone hoping to use the relief accurate record-keeping is essential. Article continues below "Executors must maintain detailed records of share values at death and sale prices. Ensure all claims are supported by the necessary documentation and submitted within the specified time frame." Shaun said: "If you claim loss on sale relief for Inheritance Tax, you can't also use the same loss to reduce your Capital Gains Tax (CGT). "When you use this relief, the lower sale price of the shares becomes the new base value for CGT. This means you can't use the original higher value to calculate losses."