Navigating Estate Administration in Australia: Your Post-Probate Checklist
Navigating Estate Administration in Australia: Your Post-Probate Checklist
Obtaining probate is just the first step when settling an estate. The real work begins afterward. At Funera Sydney, we've created this guide to administering an estate compassionately once you've secured legal authority to act.
- Opening a Trust Account if Required
For substantial estates, opening a testamentary trust might be necessary. Some Wills may even stipulate the need for a trust account. However, considering additional costs, this is only viable if the estate's value justifies it. With the granted Probate, you can initiate this account if required. - Registering for a Tax File Number
A tax file number enables asset transfers into the estate. Before gathering the deceased estate's assets for distribution, set up the estate for potential transfers by registering for a Tax File Number (TFN). This ensures avoiding tax at the highest income rate. Register online through the Australian Tax Office’s application for a deceased estate form and discuss further steps with a tax agent. - Organising Certified Document Copies
Banks require certified probate and death certificate copies before releasing funds. Certified copies of the Grant of Probate or Letters of Administration are crucial before transferring larger value assets. These copies are required for accessing the deceased person’s accounts. Additionally, certified copies of the death certificate may be necessary. Funera Sydney provides these copies if you are a client. - Transferring Assets Thoughtfully
Request the release and transfer of assets to the deceased's existing bank account or an account in the estate's name. Ensure the notice period requirements are met for any real estate asset transfers. - Handling Required Asset Sales
If assets must be sold for distribution, ensure you obtain fair valuations and sale prices, documenting the process. Keep evidence of valuations, advertisements, and sales contracts for transparency. - Confirming Transfers Settled
Before distributing, check bank deposits and title searches to guarantee asset transfers completed as expected. After transfer or release requests, confirm that the transfers have been processed. Check the estate’s bank account for cash transfers and conduct a title search for real estate transfers. - Settling Outstanding Debts and Bills
Pay any remaining estate debts and administration fees prior to closure. We can review to ensure nothing is overlooked. Settle these before closing the deceased estate’s bank account. - Submitting Final Tax Filings
Handle final GST, income, and trust tax obligations. We're here to guide you through ATO processes. As the Executor, Administrator, or Next of Kin, manage the deceased estate's taxes, including individual tax returns, a date of death tax return, deceased estate tax return, and a trust tax return if applicable. Ensure compliance with ATO guidelines. - Determining the Estate's Full Value
Once taxes are settled, we'll help you inventory assets, obtain appraisals, and calculate the estate's total value prior to distribution. - Distributing Thoughtfully to Beneficiaries
After settling debts and taxes, determine the estate’s full value by valuing property and finalizing an asset inventory. Comply with any state or territory requirements for publishing a notice of intent to distribute. - Closing Accounts and Filing Records
Follow the Will or rules of intestacy to determine beneficiaries’ entitlements. Inform beneficiaries of their inheritance and finalise the distribution of the deceased estate. Ensure all loose ends like account closures and document storage are handled properly for future reference if needed. Pay any outstanding debts, close bank accounts, and cancel relevant insurances. File all documents safely for a minimum of seven years for potential inquiries or audits.
At Funera Sydney, we lessen the burden throughout estate administration, allowing you to focus on what matters most - honouring your loved one's legacy. Please reach out if we can assist at any stage.