You can pay your Inheritance Tax (IHT) bill partially or in instalments depending on what the estate contains. There are also added costs that might come with partial payment. 

An Inheritance Tax bill is due within six months of the date of death. For estates that are asset-rich but cash-poor, finding the funds to pay it off can seem like an impossible feat. 

At Provira, we know that facing financial pressure while navigating grief can be an overwhelming experience. 

We help families through this every day, offering them a simple financial solution so they have the time and space to focus on what matters.

With our Estate Advance, executors can access up to 50% of the net value of the estate within days, whether you need to cover just the first instalment of the Inheritance Tax bill, or the whole thing in one go.

What’s more, we only charge simple interest, not compound interest, don’t ask for monthly repayments, and don’t charge early repayment fees, saving you money in the long run.

For more information, speak with our team today.

How long do you have to pay Inheritance Tax after probate?

Inheritance Tax is due before probate is complete. You have to pay your bill within six months of the date of death and, if you’re not able to cover the cost, probate won’t be granted.

For many estates, cash is tied up in assets and can’t be released until probate is granted.

This is where loans or instalment plans can help relieve any financial pressure. Particularly when recent updates to Inheritance Tax reforms have put more estates at risk of facing higher IHT bills.

Carefully planning your estate combined with knowing your options when it comes to covering the cost is key to being able to cover Inheritance Tax.

Can Inheritance Tax be paid in instalments?

Yes, but only when an estate contains specific asset types and you set up an official payment plan. This can be formally requested to HMRC using the IHT400 form.

Assets that qualify an estate to pay in instalments include: 

• Land and property (including residential homes)
• Unlisted shares with minority control but with high IHT exposure and they’re hard to sell
• Business interests
• Unlisted shares where the deceased held more than 50% control

You can then formally agree with HMRC to pay off your bill in 10 equal instalments, the first of which remains due within six months of the date of death. Then, probate can still go ahead and be granted. 

Estates that contain residential land or property and minority shares will find these assets don’t qualify for Business or Agricultural Property Relief. This means they’ll be charged interest on the outstanding balance.

Fortunately, business interests and unlisted shares with voting control usually qualify the estate for interest-free instalment plans. 

If the asset that qualified the Inheritance Tax bill to be paid in instalments is sold, and funds are released, the remaining bill must be covered immediately.

With this in mind, it’s important to get professional guidance on what the assets in your estate qualify for so you can make sure you’re being as tax efficient as possible.

This HMRC instalment plan can seem like a financial lifeline for estates, and it can be. But when the first instalment is due within six months, before probate is complete or an asset can be sold, it can still pose a financial challenge.

At Provira, our Estate Advance is not only used to cover the entire Inheritance Tax bill. 

We regularly work with families to offer them a loan that covers just enough for the first instalment, with interest then due only on that amount. 

This is a reflection of how our compassionate team tailor every case to your personal circumstances. 

Get in touch today to discuss your options.

Can you pay Inheritance Tax in advance?

Yes, you absolutely can pay Inheritance Tax in advance. And it’s often worth doing so in order to save you paying more interest in the long run.

Covering all or part of the cost upfront is an efficiently proactive way of managing estate finances. It can be done in a few ways:

Payment on account

This is a voluntary payment made to HMRC before the final Inheritance Tax bill is provided. If the estate has the cash available to be able to do this, it also reduces your overall interest charged in the long run.

Direct Payment Scheme

This way of paying IHT means any funds in the deceased’s bank or building society accounts can be transferred directly to HMRC without needing probate to be granted beforehand. 

It’s important to note that not all banks are signed up to the scheme and the amount of the bill that is covered is entirely dependent on how much money is available.

Life insurance written in trust

This is required to be set up as part of planning an estate. Funds placed in a trust are exempt from Inheritance Tax as they’re not classified as part of the estate and can then be put towards paying off an IHT bill straight away.

What happens if you underpay Inheritance Tax?

If you underpay Inheritance Tax, or miss a payment deadline, HMRC will charge interest on the unpaid balance. In some cases, they can also charge penalties. 

Different penalties apply to different scenarios based on whether there’s been an accidental miscalculation or a deliberate underpayment.

As of 2026, HMRC charges 7.75% interest on late payments. This applies to any payment taking place after the six month mark.

There are also postponement applications or grand on credit options for when the bill genuinely cannot be paid. But these are hard to get, and estates can’t rely on these as ways to plan out their finances. 

A key concern for executors is if the estate is distributed before Inheritance Tax is paid off, as they could then become personally responsible for the remaining balance.

This is where Provira’s Estate Advance removes all risk. 

How Provira can help you pay your Inheritance Tax partially

An Inheritance Tax bill can come at one of the most complicated times in your life. Facing financial pressure during a complicated probate process while grieving can be a heavy weight to bear. 

Finding the funds to cover the cost of Inheritance Tax before the six month deadline is a challenge we help executors through every day. Even if they’ve opted to pay off their IHT bill in instalments.

We’re unique in offering loans for partial payment, meaning executors can take out just the amount they need for the first instalment, to relieve any immediate financial pressure and set them up well for the long run.

It keeps probate moving, and allows you to focus on more important things.

By taking out our Inheritance Tax loan, you:

• Have access to up to 50% of the net value of the estate, within days.
• Only pay simple interest, not compound, saving you money in the long run
• Face no monthly repayments. The loan is simply repaid in full once the estate has been settled.
• Don’t have to cover any early repayment fees if probate wraps up sooner than expected.
• Will have a member of our compassionate team dedicated to your case to guide you through it from start to finish.

Ready to get started? Fill out our form today. It takes just a few minutes.