Avoid Probate or Estate administration tax in Ontario
Probate is a court’s formal approval of a Will as the last and valid will or testament of a deceased person confirming and certifying the person appointed as a trustee. The court, upon on application will issue a Certificate of Appointment of Estate Trustee. The estate trustee will have the legal authority to deal with the estate.
All assets of the estate are subjected to probate or estate administration tax, currently taxed at 1.5% of the total value of the estate assets exceeding $50,000. An estate with a house, any other real estate asset or other asset valued to be at least $1 million will be subjected to an estate administration tax of $14,250. There are smart strategies to avoid this.
- Designating a beneficiary in your insurance policies and all your registered accounts.
- Holding your registered or non-registered accounts jointly with your spouse or a reliable person whom you wish to receive the benefits/ funds after your passing.
- Holding assets in cash only or bearer certificates.
- Executing gift transfers while you are alive. This may have tax consequences.
- Creating trusts for minors, suitable adults, disabled persons or other dependants.
- Executing two wills.
- Transferring the title to your home or other real property to both yours and your spouse in joint tenancy with the right of survivorship.
How can PPS LAW PROFESSIONAL CORPORATION help you?
If you require further assistance in the above matter, please contact us. We are Immigrant-founded, multilingual and accommodating to cater the needs of all walks of life including the working-class community. As experienced professionals, we have been successfully assisting clients in this matter to their satisfaction. Contact us today.