Legal News | 23.09.21
“To improve is to change”… or is it?
At some point, you may find yourself with the dubious honour of having been appointed an executor of a Will.
Whilst there is a lot of information out there to guide you through the process of administering an estate and applying for a Grant of Probate (if required), the lengthy and often confusing advice can leave you feeling overwhelmed. Not to mention when a friend or relative has acted as an executor before and provides you with outdated information which conflicts with what you have researched online.
Additionally, matters are made more complicated when the requirements to apply for a Grant of Probate keep changing. At the moment, the executors of every estate that requires a Grant must complete a Revenue Account. The type of Account depends on certain thresholds, which are largely based on the value and complexity of the deceased’s assets.
However, under new rules which are expected to come into force in October (and which take effect for deaths from 1 January 2022), 90% of non-inheritance tax paying estates should not have to complete the usual Revenue Account.
Surely this sounds like a positive change? Lengthy forms and paperwork can be scrapped for many estates, saving time and fees which sounds like a good thing. However, that is not the whole picture. It can be important to ascertain the value of the estate accurately and maintain careful financial records as these may be required in the future, particularly on the death of a second spouse or for capital gains tax purposes.
It is essential to remember that if an estate has not been administered correctly, the executors can be held personally liable for any claims brought against that estate.
If you have been appointed as an executor and would like some advice or assistance with the current estate administration process, or how future changes may affect your situation, please get in touch with your usual contact or email us via email@example.com.