Death and Taxes: What Is Your Plan?
The saying goes: “Nothing can be said to be certain, except death and taxes”. Despite its certainty, many people do not prepare for death in a meaningful way, often leaving their loved ones in a challenging situation, in an already difficult time.
In Alberta, having a proper will in place can ease the burden for your loved ones, so that they are not left having to take additional steps to deal with your property and other matters following your passing.
The Alberta Wills and Succession Act governs what happens to the estate of a deceased when there is no will in place. It also governs who may have a valid claim against the estate of a deceased person. Having a valid will in place can protect the estate so far as ensuring that the estate is passed to the hands that the deceased would have wanted, barring the Court finding that there are others to whom the deceased had an obligation which has not been properly met by the Will. For example, one may have legal or contractual obligations, including the obligation to care for their dependents such as a partner or spouse, minor children, or adult children who remained dependent on the deceased, which can affect the deceased’s ability to dispose of their estate in the manner that they may desire.
If a deceased failed to prepare a will, they are considered to have “died intestate”, meaning that they died without a will. In that case, it is important to understand the Wills and Succession Act to determine who potentially has rights to benefit from the estate. The legislation first assumes that the deceased would want their family to benefit from their estate, however, this can be a very challenging time, especially in blended families or other situations with children from a prior relationship, or where there may be strained relationships. Proper planning may be the best option to try to overcome these challenges before they begin.
Business owners, including farmers and ranchers, should be especially mindful of the preparations needed for their estate. There can be many interested parties in the family business venture, any or all of which may have some expectation or interest leading up to, and after the passing of their loved one.
If you have previously prepared a will it is wise to review it with a lawyer, taking into consideration any changes you have experienced in your life, and any changes in the laws since you prepared it. If you do not have a current will in place, now is the right time to prepare one. Clear Title Law will give you Clear Advice to ensure that your legacy is protected as we work with you to understand and resolve your estate planning needs, putting the correct estate plan in place.