The introduction of Bill 173 in Ontario is bound to change the course of estate administration.
Currently, when the executor named in a will applies to probate the will, estate administration tax is payable to the Minister of Finance based on the value of the deceased’s assets. However, due to amendments under Bill 173, the estate representative will be required to keep detailed records containing the information that will enable an accurate determination of the tax payable. Valuations will be necessary for all property passing under a probated will or where there is no will.
Executors can risk personal liability if subjected to a claim for negligence, and may want to consider insurance to safeguard against innocent tax mistakes made when administering the estate.
Full story at CCH Canadian.