Advertorial
IT can be confusing to ‘ex-pats’ – and at times
to Spanish advisors who are not wholly familiar with the UK Probate Registry practices – that legally the UK probate registry ‘reserves the right’ to refuse to grant probate where a deceased (1) who dies abroad (2) has no assets in England and Wales - or (3) has assets of less than £15,000 in England and Wales. This measure exists in order that the Probate Registry can choose to avoid the time and effort of the completion of the Probate process where there is no real need. It is not automatic – and is always waived where a reasonable request (or tax) applies. Picture, for example, a person from India who lives in the UK for twenty years, and then returns to India with all of his or her capital assets - but leaves some family - and a £10,000 car in the UK - and a UK will leaving everything to ‘my nearest relative still living in England at the date of my death’. That car rightfully belongs to the nearest relative situated in the UK - BUT - the costs of Probate would be greater than its value - without even there being tax payable - to compensate. You must not however confuse this possibility with your situation if you live in Spain with no - or few - assets remaining in England.
Your UK based Assets at death
First - you may have more UK based assets than you think - arising as a consequence of your death - such as: State benefits or refunds to which your estate is entitled UK insurance policies you may still own Pension lump sums due on death Other ‘lump sums’ arising in the UK on death
A REFUSAL TO GRANT PROBATE IN THE UK As yet unpaid claims arising in the UK As yet un-received bequests (from the death of a relative in the UK)
Then - the UK Rules of Domicile apply
No matter how long you live away from the UK for - nor how little of your estate remains there - you are almost certain to remain UK domiciled - in the eyes of the UK revenue authorities - for as long as you have a UK passport. This - as is normal in all countries – including a Spaniard dying in the UK - makes you eligible to pay inheritance tax to your homeland - on your ‘worldwide estate’ - whether it is situated in the United Kingdom or not.
Then – lifelong UK tax applies
As the only way that tax can be collected by the UK is through the Probate process - your worldwide estate - and in particular your moveable estate is
DEEMED to exist in the UK - for the purposes of probate - until or unless proved to the contrary. It is best therefore to assume that - even if you can prove (though it is hard to do) that you have ‘nothing in the UK’ - that the UK Revenue and Probate Service will not just ‘pass you by’. Far from it. Upon learning of your death from the local embassy, or the passport service, or UK state pension service, your close relatives will receive a ‘searching’ form to complete and return identifying your assets worldwide. Failure to complete this form will arouse suspicion and enquiry to fall upon your beneficiaries or relatives – with even the possibility of criminal prosecution if they fail to realise your and their obligations to the UK. It is far better to understand – and then accept – and then legitimately avoid this whole issue – with a shelter structure – than to put your head in the sand.
Spanish court strips widow of her husbands inheritance January 30, 1995
Today a judge in Jerez de los Caballeros ruled that the children of the widow’s late husband - by his first wife - were legitimate heirs entitled to two thirds of the estate - that had originally been left by Timothy Denny to his wife - in a ‘Spanglish’ Will - written and notarised in Spain. The judge ordered the land registry to cancel the entry in favour of the widow - stripping her of most of the assets her husband had left to her. From 150€ Quill can create you a cast iron Will and from 6,500€ a Shelter structure - guaranteed to protect you from nightmares like this - as well as the ravages of taxation - upon your family, your children and your children’s children - both in your home country and in Spain. Call us today, you will be glad you did!
Telephone Jenny Harris on +34 928 346 544 or +34 679 278 737 or freephone UK on 0800 298 3777 for information. read more online at www.quillwills.net A Quill Group Company
local knowledge, empowering people
The Willwriters Association
The Association of Lawyers
Quill Wills - UK, Ireland & Spain
Spanish Office: Calle Argentina 9, San Andres 108, Costa Teguise 35508, Lanzarote, Las Palmas, España Tel: +34 928 346 544, Fax: +34 928 346 540, Email: jenny@quillwills.net | www.quillwills.net