Probate and Administration Practice Flashcards
What is a grant of representation?
High court order
Grant of probate or letters of administration
What is grant of letters of administration?
Grant of authority to deal with estate when there is no will or executors can’t act/won’t
What is a grant of probate?
Authorises executor to manage estate
What things do you not need a grant for?
Small sums due, usually under 5k, sometimes up to 50
Cash found in home
Chattels - no title evidence
What forms does executor have to do and when?
IHT form 400 – details ALL FINANCES
When there is IHT, or not but estate is not an excepted estate
What must be done before a grant of representation will be given?
IHT form 400 and paid IHT due
How much time do PR’s have to deliver the IHT account/IHT?
12mo from the end of the month of death
When can IHT be paid in installments?
Certain property e.g., land
Which estates are excepted from IHT?
Died domiciled in UK or if not assets were under 150k
Value not over 250k
Non-UK value not exceed 100k
No lifetime chargeable transfers within 7 years other than cash, quoted shares, chattels or land to an individual over 250k
Value of gross estate is less than nil-rate band
OR is less than nil rate after spouse/charity exemptions and is not more than 3 million
What 3 steps are there for non-excepted estates?
Submit IHT 400 and pay
Receive acknowledgement letter with unique probate code
Use code and values to register the probate application
What are the three types of grants?
Probate – valid will/executor
Administration with will – no executor appointed, or can’t act, unwilling/able etc
Simple administration – no will
What is the order of entitlement to be a letter of administration with will?
Trustee of residue
Other residue beneficiary
If partial: anyone entitled to share of undisposed residue
PRS of residuary beneficiary
Any other beneficiary or creditor
PRS of any other beneficiary or creditor
How many people can have the grant of representation?
4
What is the minimum number of administrators where there is a minor or life interest arising?
2
or a trust corporation
What happens if there isn’t 2 and there is a minor or life interest?
High court can appoint additional PRS on application of an interested party
Who can have power reserved?
Only an executor not administrator
How do you renounce?
In writing, signature witnessed
What is the order of priority for a simple administration?
Surviving spouse
Children of deceased
Deceased parents
Whole blood sibs
Half sibs
Grandparents
whole uncles
half uncles
treasury on behalf of crown
creditor
Can a minor act as administrator?
No, also can’t apply for grant
How is a gift treated if a beneficiary disclaims their inheritance?
Like they died
What is a will variation?
Beneficiary gifts their interest to somebody else
