What Happens After Probate Is Granted: A First-30-Days Checklist

Receiving the certificate can feel like the finish line. In fact it is the starting line for the actual work. The court has confirmed or granted your authority to act as estate trustee.

This article gives you a practical order of operations for the first month, plus the longer deadlines that begin running as soon as the certificate is issued. Every estate is different, so treat it as a framework and confirm the details with a lawyer or accountant.

Why the clock starts when the certificate is issued

Estate administration tax is paid as a deposit when you apply, and it becomes the tax once the certificate is issued. That same date also starts the clock on your filing duties and on the Ministry of Finance's ability to reassess the tax, which is generally four years after the tax was due.

Because several deadlines run from one date, write down the issue date on the certificate and build your calendar from it before you do anything else.

Your first-30-days checklist

Work through these in roughly this order. None of it is a substitute for advice on a complicated estate, but it keeps the early weeks organized.

• Record the date the certificate was issued and mark the 180-day return deadline in your calendar.
• Order several certified copies of the certificate, since banks and other institutions will usually each want one. Check with each institution what it requires.
• Notify banks and other financial institutions of the death and present the certificate where they require it.
• If the person was receiving support, contact the Family Responsibility Office.
• If the person had an accessible parking permit, return it to ServiceOntario within 30 days.
• Gather statements and values for every asset as at the date of death, in Canadian dollars.
• Prepare the final income tax return for the deceased.
• Keep a running record of every dollar in and out of the estate accounts.
• If the deceased had a surviving spouse, note the six-month date from the date of death for any Family Law Act election.

Pulling together the estate's value

You will need accurate values for the Estate Information Return, so start collecting them now. Assets counted include Ontario real estate less encumbrances like a mortgage, bank accounts (including foreign banks), investments, vehicles and vessels wherever located, property held in another person's name, insurance payable to the estate, and RRSPs, RRIFs or TFSAs without a named beneficiary.

Some things are not counted: jointly held assets that pass automatically to the surviving owner, registered plans and insurance with a named beneficiary, and the CPP death benefit. Real estate outside Ontario is also excluded on a full certificate, though foreign bank accounts and vehicles are still counted.

Funeral expenses, lawyer's fees, credit card debt, vehicle debt, real estate commissions and unregistered loans cannot be deducted from the value for tax purposes, even though they are real costs to the estate.

The deadlines that follow the first month

The consequences of missing filings are serious. A representative who fails to file, or files false or misleading statements, may face a fine of at least $1,000 and up to twice the tax payable, imprisonment up to two years, or both. The Ministry can also assess or reassess at any time if a required filing was missed or there was misrepresentation.

Do not distribute too early

Beneficiaries often press for their share once probate is done. Before you distribute, a legal representative should get a CRA clearance certificate using Form TX19. If you distribute without one, you can be liable for any unpaid tax up to the value of the property you handed out.

Since CRA's service standard is 120 calendar days, it is worth requesting it as soon as the returns it depends on are ready, and explaining the timeline to beneficiaries so expectations are realistic.

What to do next

• Today: note the certificate date, order certified copies and start a ledger.
• This week: notify financial institutions, return any parking permit and contact the Family Responsibility Office if relevant.
• This month: assemble asset values and begin the Estate Information Return and the deceased's final tax return.
• Before any distribution: apply for the clearance certificate.
• If anything is unclear, such as an estimated value, a missing beneficiary or a spouse's election, speak with an estate lawyer or accountant early.

Frequently asked questions