How can probate fees be reduced in British Columbia?
This answer covers the law of British Columbia.
The probate fee is charged on the value of the estate, and debts and mortgages do not reduce that value, so reducing the fee depends on what counts as part of the estate. The fee base covers property that passes to the personal representative, so assets that pass directly to someone else, such as by right of survivorship or a valid beneficiary designation, fall outside it.
Location also matters. Real estate and tangible property count only if situated in British Columbia, and bank accounts and securities outside BC count only if the person was ordinarily resident in BC immediately before death. Each approach has trade-offs. A designation can fail if it is invalid or the named person has died, which may send the benefit to the estate. Joint tenants who die together, or cannot be shown to have survived each other, are treated as tenants in common, so a share can pass through the estate.
If an asset or value is left out of the Statement of Assets, Liabilities and Distribution, the personal representative must disclose it after the grant and pay the difference in fee. Because ownership changes can have tax and family consequences, speak with a lawyer before restructuring anything.
Key takeaways
- Debts and mortgages do not reduce the value on which the BC probate fee is charged.
- Assets that pass directly to someone else, such as by survivorship or a valid beneficiary designation, are outside the fee base.
- Real estate outside BC is outside the fee base, and so are intangible assets outside BC unless the person was ordinarily resident in BC immediately before death.
- If an asset is left out or a value is understated, the personal representative must disclose it and pay the difference in fee, and must also promptly file a supplemental affidavit.