1. What is a deceased estate? A deceased estate refers to an individual’s net worth, calculated as the total value of everything they own minus their liabilities (debts) at the time of their death. These assets need to be distributed to the beneficiaries named in the deceased’s will or to the intestate beneficiaries if no valid will exists. The estate is managed under the Administration of Estates Act 66 of 1965 and must be reported to the Master of the High Court.

2. When must deaths be reported to the Master of the High Court? The death of a person who lived in South Africa must be reported to the Master of the High Court. Additionally, if a person passed away in a foreign country but owned property or assets in South Africa, their death must also be reported.

3. How do you report an estate to the Master of the High Court? The estate must be reported in the jurisdiction where the deceased resided for the 12 months prior to their death. If the deceased lived outside South Africa, the estate can be reported to any Master of the High Court. The person nominated as the executor in the will, or a family member if there is no will, must report the estate.

4. How does one “wind up” a deceased estate? Steps in the winding up of a deceased estate typically include the following: 

• Prepare all the necessary documents to report the estate to the Master of the High Court.
• Submit the reporting documents and acquire Letters of Executorship or Letters of Authority.
• Obtain a power of attorney from the client to communicate with creditors and debtors.
• Open a dedicated bank account for the estate to receive funds from debtors.
• Publish the Creditors’ advertisement in the Government Gazette and a local newspaper, notifying creditors of the deceased’s passing and allowing them to submit claims.
• Cover the expenses associated with these disbursements.
• Compile the Liquidation and Distribution Account, which details all income, expenses, and distribution of surplus to heirs and addresses any estate duty requirements.
• Write to the Master for permission to advertise the Liquidation and Distribution Account and instruct an agent to deliver the letter and obtain consent.
• Advertise the Liquidation and Distribution Account in the Government Gazette and the Citizen newspaper, allowing anyone to raise objections if necessary.
• Write to the Master, enclosing the duplicate copies of the Liquidation and Distribution Account for a 21-day inspection period, and instruct an agent to deliver the letter to the Master’s office and collect the Master’s written confirmation of the account inspection.
• Settle outstanding debts with creditors, if any.
• Distribute the remaining assets to the heirs.
• Obtain tax clearance from the South African Revenue Service (SARS) with the assistance of a bookkeeper.
• Write to the Master, fulfilling any final requirements, and obtain a letter confirming the estate’s finalization.

5. How is an estate distributed if there is no will? If there is no will, the estate is distributed according to the Intestate Succession Act 81 of 1987, which dictates how assets should be distributed among surviving relatives.

6. What is a Liquidation and Distribution Account? This is a detailed account prepared by the executor that outlines the estate’s assets, liabilities, income, and expenditures and how the estate will be distributed to the heirs. The document must be submitted to the Master of the High Court for approval within six months of the executor’s appointment.

7. What documents are needed to report an estate valued under R250,000? If the estate is valued under R250,000, the following documents are required to obtain Letters of Authority:

• • • Death notice
    • Undertaking and acceptance of Master’s directions
    • Next of kin affidavit
    • An affidavit confirming the estate was not reported to another master’s office
    • Declaration regarding marriage
    • Inventory of assets
    • Nomination to act as executor (if no will)
    • Certified copies of the death certificate, ID of the deceased, executor, surviving spouse, and children (if applicable)
    • Certified marriage certificate and ANC (if applicable)
    • Original will and proof of assets (e.g., bank statement)

8. What documents are required for an estate valued over R250,000? For estates valued over R250,000, you’ll need:

1. • Death notice
   • Acceptance of trust as executor
   • Next of kin affidavit
   • An affidavit confirming the estate has not been reported
   • Declaration regarding marriage
   • Inventory of assets
   • Original will
   • Nomination to act as executor (if no will)
   • Certified copies of relevant IDs (deceased, executor, family members)
   • Certified marriage certificate and ANC (if applicable)
   • Fidelity fund certificate (from the attorney assisting the executor)