We entirely appreciate the death of a loved one can be a very upsetting, stressful and difficult time for a person and, having to deal with a person’s estate, can add to the difficulties. We appreciate not everyone feels they are able to administer a loved one’s estate, which is why we are here to help.
When someone dies, a person will need to deal with their loved one’s estate and, in many cases, apply for Probate. The Personal Representative (PR) is the person responsible for doing this. Probate is a Court Order that gives the PR the authority to handle their loved one’s estate, for example by closing bank accounts and selling property.
There are three types of Probate namely:-
The PR is responsible for establishing the value of their loved one’s estate as at the date of death, reporting this to HM Revenue & Customs (HMRC), and paying any inheritance tax due (if applicable). It is important that full and accurate disclosure is made, as the PR may otherwise be at risk of penalties from HMRC. The PR must also apply for Probate where required.
Once Probate has been obtained, the PR is responsible for collecting in all assets of the estate and settling any outstanding debts before distributing the estate to the beneficiaries. The PR must identify those entitled to inherit, either in accordance with the deceased’s Will or, where there is no Will, under the Intestacy Rules.
The PR must also prepare Estate Accounts, which record all money received and paid out by the estate, and show the balance available for distribution to the beneficiaries. The Court may, at any time, require the PR to provide these Estate Accounts.
Provided there are no claims against the estate, the PR is then free to distribute the estate in accordance with the Will or, where there is no Will, under the Intestacy Rules. Please note that statutory timescales apply.
A PR can be personally liable to creditors of the deceased. We therefore always recommend following the statutory procedure by placing a notice under section 27 of the Trustee Act 1925. This gives unknown creditors an opportunity to come forward and make their claims known to the PR. Following this procedure provides protection to the PR against such claims in the future.
Family members and others who were dependent on the deceased may be able to bring a claim against the estate under the Inheritance (Provision for Family and Dependants) Act 1975, if they believe that insufficient provision has been made for them under the Will, or if they consider they have a valid claim under the Intestacy Rules. If a PR distributes the estate too early, they may be personally liable for any such claims.
The role of a PR is therefore significant and can involve a number of potential risks. If you require any guidance or assistance, please do not hesitate to contact us.
FREE APPOINTMENT
A free half an hour appointment in respect of Probate advice with no obligation to instruct us.
ADMINISTRATION OF THE ESTATE
We can assist with the full administration of the estate, including attending the deceased’s property and dealing with their belongings, establishing the value of the estate, completing the inheritance tax forms, paying any inheritance tax due (where applicable), applying for Probate, placing the statutory notice under section 27 of the Trustee Act 1925, settling any liabilities, preparing the Estate Accounts, and distributing the estate to the correct beneficiaries.
Alternatively, if you wish to be involved in the administration, we can provide support with specific aspects of the process as required.
Our hourly rate for this work is £200.00 plus VAT.
OBTAIN THE GRANT OF PROBATE/LETTERS OF ADMINISTRATION
If you do not require assistance with the full administration of an estate, we can offer a fixed-fee service limited to obtaining the Grant of Probate or Letters of Administration. Our fixed fees start from £2,000.00 plus VAT and disbursements.
The exact fee will depend on the complexity of the matter. For example, where a detailed account is required together with a full inheritance tax return, our fees are likely to be higher.
We are always delighted to hear from you and answer any queries so please enter as many details as possible below. We are always here to help.