The dangers of do it yourself probate

The current economic climate may encourage families to try to save money by administering the estates of their relatives themselves rather than seeking the advice of a Solicitor who specialises in this area.

This could very easily lead to inadvertent mistakes in matters such as:

• Interpretation of the will
• What can you do if there is no will
• What happens if the beneficiaries want to change the terms of the will
• What happens if a named beneficiary has pre-deceased the Testator
• Ensuring the appropriate inheritance tax return and oath are submitted to Court with all figures on both documents accurate
• Ensuring every asset is realised or transferred
• Paying the correct taxes before the estate is distributed or the Executor/Administrator could be personally liable
• Similarly paying all liabilities before the estate is distributed for the same reason
• Inserting the appropriate statutory notices to protect the Executor/Administrator from unknown creditors
• Not distributing the estate before the deadline for claims from disappointed beneficiaries has passed
• Ensuring all legitimate tax allowances are claimed
• Claiming any income tax refunds
• Correct distribution of the estate
• Obeying the “Executor’s Year” rule or interest will be payable on legacies
• If the Will contains a trust (for example for a minor or a discretionary trust) that this is correctly established following the administration of the estate
• Registering the trust with HMR&C

Do-it-yourself may be false economy.

If you would like more advice please contact Liz Hall, Trusts & Estates specialist of Linder Myers LLP and member of Solicitors for the Elderly.