Administration of estates and probate
The administration of an estate can involve a wide range of issues. Every individual’s estate is different in terms of the provisions they make under their will and the nature and value of the assets and liabilities they leave behind. We have the experience to advise and assist with the whole process.
Summary of Assets and Liabilities
Generally the first step is to establish the exact nature and value of the assets and liabilities in the estate and how they are held (i.e. in the sole name of the deceased or in joint names with someone else).
There is no inheritance tax in Gibraltar but depending on the tax status of the deceased there may be inheritance tax to pay in other jurisdictions. This may be payable by the estate or the heirs depending on a number of different factors.
Application of the Grant of Probate
The Grant provides proof that the people named on it have authority to deal with asset holders (such as banks) and to transfer legal ownership of assets such as property to the entitled beneficiaries. Who applies for the Grant depends on whether the deceased left a Will appointing executors or not. If no Will has been left the deceased is said to have died intestate. We can advise further on who is entitled to take out a Grant and ultimately who is entitled to benefit from the estate.
Collecting in the Assets and Paying the Liabilities
Once a Grant has been issued the executors can close any accounts, sell any investments they wish to and generally collect in the assets. From this pool any liabilities, expenses and legacies can be paid.
Finalising the Estate
The executors may have to deal with tax liabilities arising during the administration of the estate although the exact position will depend on the nature, value and location of the assets. Estate accounts should be prepared on behalf of the executors. These detail all the assets and liabilities as at the date of death, the movement of these and all administration expenses, leading to the final totals available for distribution.