Estate planning is the process of planning how one’s estate will be distributed and managed after their death or when the individual becomes incapacitated.
Below are a list of services that our team of wills and estates lawyers offer to ensure your Estate planning needs are taken care of.
Wills
- Wills are essential documents to be written before death. Without a Will, your assets may not necessarily end up going to the people you thought they would.
- Your Last Will and Testament
Your Last Will and Testament outline and enforce your wishes regarding your estate. Dying without one may mean your assets will be distributed against your wishes. - Corporate Will/Secondary Will
Having a corporate Will ensures that when you pass, your corporation’s assets will be held in trust. Separating business and personal assets makes probate easier.
Power of Attorney
- Power of Attorney for Property
We put together frequently asked questions about Powers of Attorney For Property (Assets). These include, What is a Power of Attorney? Do I need two Powers of Attorney? Can a Power of Attorney be used after death? and more. - Power of Attorney for Personal Care
We put together Commonly Asked Questions about Power of Attorney For Personal Care (Medical) so you can understand it better.
Family Trusts
- Family Trusts
Overseen by an appointed trustee, a family trust describes the legal relationship between the grantor and the beneficiaries of the trust. - Henson Trusts
Set up through the will, a Henson Trust is highly recommended when a beneficiary of the trust has special needs. In this situation, the appointed trustee has sole discretion with respect to the distribution of assets and funds to the beneficiary. - Inter Vivos Trusts
Set up while one is still living, an inter vivos trust allows the beneficiaries to receive trust income and as such, it is taxed differently than other trust structures. - Succession Planning
This is the process of replacing or developing strategies to replace leadership roles within an organization when a vacancy becomes available. - Bare Trust
A Bare Trust is an arrangement between the listed owner of a piece of property (example; land or a bank account) and the real beneficiary of the property. An example of a Bare Trust is a child holding a piece of property for the real benefit of a parent. The parent is the “true owner” of the property even though title may be in the child’s name. Like anything else, there are pros and cons of using a Bare Trust. It is critical to have legal advice in determining whether you need a Bare Trust Agreement.
Looking For A Lawyer To Draft Your Will?
Do not make the mistake of thinking all things are simple and equal. We have skilled and experienced lawyers located in our Vaughan and Toronto offices as well as full video/digital ability to meet our clients virtually. We service clients who live across all of Ontario, and those would live all over the world who have property or an estate in Ontario.
Frequently Asked Questions
In a case of dying without a Will, your money may not automatically go to the people you think.
You may not have provided adequately for a dependent.
Decisions regarding your minor children and their money may be influenced by someone you do not want to have involved.
The funds that your family needs could be tied up in estates court for a length of time, when they need it the most.
Yes. You can not say “I only need a simple Will” until you have a proper consultation with a Will lawyer who can review many issues that you may not think of. Hummingbird Lawyers facilitates the preparation and execution of critical estate planning legal documents such as Wills, powers of attorney and trusts.
If you need to be officially appointed by a Court to act as an Estate Trustee, payment of an estate administration tax (“EAT”) is required. The rate of tax due is calculated based on the value of the assets of the estate that require probate. Effective January 1, 2020, no EAT will be payable on the first $50,000.00 of an estate value. Consult with the Estates team at Hummingbird Lawyers to explore what this means for you as an Executor of an Estate.
Executors beware! Effective January 1, 2020, the Ontario Government has implemented changes that will affect all that go through the probate process. In December 2014, through regulations and legislative changes the Ontario Government sought to enforce compliance with the Estate Administration Tax Act, 1998, by imposing on the Estate Trustee or Executor a duty to file a detailed inventory reflecting everything a person owned at death and the value of those assets. The form that an Estate Trustee or Executor must use to submit this information is called an Estate Information Return Form (EIR Form).
Effective January 1, 2020, the deadline for filing the EIR Form to the Ontario Ministry of Finance changed from 90 days to 180 days of the issuance of the Certificate of Appointment. The time period for an Executor to report changes to the initial information reported on the EIR Form, including adjustments in value or additional asset information, has also changed from 30 days to 60 days.
Canada Revenue Agency created new reporting requirements for anyone with a Bare Trust to file a T3 tax return form naming the trustees, beneficiaries and settlors of each trust by April 2, 2024. But four days before the deadline, the CRA suspended the requirement saying, “In recognition that the new reporting requirements for bare trusts have had an unintended impact on Canadians, the Canada Revenue Agency will not require bare trusts to file a T3 … for the 2023 tax year.” Stay tuned for what the next tax year may bring as we expect to hear more in the next several months!
