Wills and Estates
3 Objectives when Preparing a Will
Who will you gift your things to? Who will you put in charge of your estate?
If you do not have a valid Will, the Government will make these decisions for you.
- Provide for your family.
- Simplify matters for your family and executor.
- Minimize Estate Taxes
Who will you gift your things to? Who will you put in charge of your estate?
If you do not have a valid Will, the Government will make these decisions for you.
REVISED ESTATE LAWS AFFECT YOU
The Ontario Government has passed new estate laws which govern your executor. The new laws create new responsibilities for your executor and your executor may be penalized for making certain mistakes.
PENALTIES
Penalties may be imposed on an executor who fails to properly perform the duties under the Estate Administration Tax Act.
The penalties consist of fines and/or imprisonment.
PROBATE
If probate is required, the revised laws apply to your executor. Probate is not required for every estate. With careful planning you can avoid probate for some and possibly all of your estate assets.
If you avoid probate, you also avoid the effects of the revised laws.
ESTATE INFORMATION RETURN (EIR)
If probate is required for your estate, an Estate Information Return (EIR) must be filed with the Ontario Ministry of Finance. The EIR is an inventory of estate assets and values. The values reported in the EIR must be objectively obtained. Some assets must be appraised by a licensed appraiser. The EIR must be received by the Ontario Ministry of Finance by the filing deadline.
Careful planning can reduce the impact of the revised laws.
AUDIT
If probate is required, the Ontario Ministry of Finance (OMF) may conduct an audit of the EIR to ensure your executor has complied with the Estate Administration Tax Act.
The audit enables the OMF to enquire about the property and values reported in the EIR.
SIMPLIFY MATTERS
With careful planning, you can simplify the work of your executor and decrease the impact of the revised laws.
You can decrease the volume of information required in the EIR, protect your assets from the audit, minimize the need for appraisals, and shelter your executor from penalties. You can also decrease estate taxes, reduce the cost of administering your
estate, and increase the value of your estate for your beneficiaries.
The Ontario Government has passed new estate laws which govern your executor. The new laws create new responsibilities for your executor and your executor may be penalized for making certain mistakes.
PENALTIES
Penalties may be imposed on an executor who fails to properly perform the duties under the Estate Administration Tax Act.
The penalties consist of fines and/or imprisonment.
PROBATE
If probate is required, the revised laws apply to your executor. Probate is not required for every estate. With careful planning you can avoid probate for some and possibly all of your estate assets.
If you avoid probate, you also avoid the effects of the revised laws.
ESTATE INFORMATION RETURN (EIR)
If probate is required for your estate, an Estate Information Return (EIR) must be filed with the Ontario Ministry of Finance. The EIR is an inventory of estate assets and values. The values reported in the EIR must be objectively obtained. Some assets must be appraised by a licensed appraiser. The EIR must be received by the Ontario Ministry of Finance by the filing deadline.
Careful planning can reduce the impact of the revised laws.
AUDIT
If probate is required, the Ontario Ministry of Finance (OMF) may conduct an audit of the EIR to ensure your executor has complied with the Estate Administration Tax Act.
The audit enables the OMF to enquire about the property and values reported in the EIR.
SIMPLIFY MATTERS
With careful planning, you can simplify the work of your executor and decrease the impact of the revised laws.
You can decrease the volume of information required in the EIR, protect your assets from the audit, minimize the need for appraisals, and shelter your executor from penalties. You can also decrease estate taxes, reduce the cost of administering your
estate, and increase the value of your estate for your beneficiaries.
Review your Will and Estate Plan every 3-5 years with an Estate lawyer