Financial Planning -> Wills and Estates -> What to do when someone dies
What To Do When Someone Dies
When a person dies, there are many tasks to be performed.
The Government of Canada web site provides a great deal of help in dealing with the many tasks to be handled in the event of a death. Go to the Estate planning, wills and dealing with death page of the site.
When executor, liquidator, or administrator fees are being paid out of an estate, the estate must register as an employer with Canada Revenue Agency. This is the responsibility of the executor. All applicable income tax and Canada Pension Plan contributions (not EI premiums) must be withheld from the payment. This only applies if the executor, liquidator, or administrator does not act in this capacity in the regular course of business.
You should familiarize yourself with the responsibilities of the executor of an estate before accepting this position, or before dealing with any estate assets.
When an individual dies, they have a deemed disposal of all of their capital property immediately before death, for proceeds equal to fair market value at the time of death. Resulting capital gains, net of capital losses, would be reported on the final tax return for the year of death. Special tax rules apply for capital losses in excess of capital gains for the year of death.
Canada Revenue Agency Wills and Estates Resources- What to do when someone has died
- RC4111 What to Do Following a Death, which contains basic information that the family and legal representative should know to start settling the affairs of the deceased person.
- T4011 Preparing Returns for Deceased Persons
- T4013 T3 - Trust Guide
- Special Payments Chart - what types of payments are subject to CPP, EI and income tax withholdings. However, executors and administrators of estates are not on this list, so see:
Estate and Will Information by Province
It is advisable to have your will reviewed occasionally by a notary or lawyer, in particular if the legislation in your province regarding has been revised in recent years. A review can help to ensure that your wishes will still be upheld under the latest legislation.
Alberta Estates and Wills
British Columbia Estates and Wills
Wills, Estates and Succession Act - Courthouse Libraries BC.
Manitoba Estates and Wills
New Brunswick Estates and Wills
Newfoundland and Labrador Estates and Wills
Northwest Territories Estates and Wills
Nova Scotia Estates and Wills
Ontario Estates and Wills
Quebec Estates and Wills
Prince Edward Island Estates and Wills
Saskatchewan Estates and Wills
Yukon Estates and Wills
See also: Probate Fees by Province
Tip: Keep your will up to date, and ensure it complies with current legislation.
Revised: July 30, 2019
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