Deceased Estates

Deceased Estates in South Africa: Administration Process

When a person passes away in South Africa, their estate must be administered and distributed according to the law. The process is governed by the Administration of Estates Act 66 of 1965 and depends on whether the deceased had a valid will or not.

1. Reporting the Estate

• The deceased estate must be reported to the Master of the High Court within 14 days of death.
• The person responsible (often a family member or lawyer) must submit documents, including:
  • Death certificate
  • Will (if applicable)
  • Inventory of assets
  • Marriage certificate (if married)
  • List of heirs and beneficiaries

2. Appointment of an Executor

• If a valid will exists, the executor named in the will is appointed.
• If no will exists (intestate estate), the Master of the High Court appoints an executor, often a close family member or professional administrator.

3. Gathering and Valuation of Assets

• The executor identifies and values all assets, including:
  • Property
  • Bank accounts
  • Investments
  • Vehicles
  • Debts owed by or to the deceased
• Creditors must be notified to submit claims against the estate.

4. Settling Debts and Taxes

• The executor pays:
  • Outstanding debts (loans, medical bills, etc.).
  • Estate Duty (if applicable for estates over R3.5 million).
  • Income tax owed by the deceased.

5. Distribution of the Estate

• If there is a will, assets are distributed according to its terms.
• If there is no will, assets are distributed according to the Intestate Succession Act, prioritizing the spouse, children, and closest relatives.
• The executor prepares a Liquidation and Distribution (L&D) account, which is submitted to the Master of the High Court and made available for public inspection.

6. Finalization of the Estate

• After approval of the L&D account and resolving any objections, assets are transferred to heirs.
• The estate is formally closed once all distributions are completed.