Finalising the Estate / administration: SARS Compliance, Estate Duty and Final Distribution Self-Study Course

This session brings the process together by showing learners how SARS compliance, Estate Duty, tax clearance and final distribution fit into the closing stages of estate administration.

Learning outcomes

By the end of this session, learners should be able to:

understand the SARS compliance steps in a deceased estate;

distinguish between the deceased’s personal tax obligations and the estate’s tax obligations;

identify outstanding returns and post-death income issues;

understand the basic Estate Duty calculation;

identify common deductions and exemptions;

understand why SARS compliance is required before finalisation;

prepare for final distribution and finalisation of the estate.

Key topics

• SARS process after death
• Outstanding returns up to date of death
• Creating an income tax profile for the estate
• Income and expenses after death
• Deregistering the deceased’s personal SARS profile
• Estate Duty overview
• Estate Duty calculation framework
• Section 4(q) surviving spouse deduction
• Maintenance claims
• Policies paid directly to third parties
• Administration costs
• Other deductions and exemptions
• Transfer duty considerations
• SARS tax as an administration cost
• SARS compliance before distribution
• Final distribution to heirs
• Finalising the administration of the estate