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Writer's pictureTrung Vu

TAX TIP #48: | IMPORTANCE OF WILLS | INTESTACY

Updated: Feb 7

Facts

Mum and Dad have separated and completed their matrimonial property settlement in Court.

 

Mum passes away, leaving her house to their Daughter in her Will.

 

The Daughter passes away suddenly, without a Will (intestate). The Daughter had no spouse or children upon her death and was survived by her Dad and Brother.

 

Question

Upon the Daughter's passing, who will be her beneficiary? 

 

Answer

Dad

 

Tax Tip

 

Schedule 2 of the Succession Act 1981 (Qld) provides that where an intestate (a person who passes away without a Will) is not survived by any spouse or children, the parent(s) are entitled to the whole of the residuary estate in equal shares, or the survivor of them will receive the whole estate.

 

In this case, as Mum has passed away, Dad who is the surviving parent will be entitled to the Daughter's whole estate.

 

It is important to note that Mum and Dad have separated and completed their matrimonial property settlement, which means it is highly likely that Mum would not have intended for Dad to be entitled to the house which she left for her Daughter.

 

The Brother has no legal entitlement to the estate under Queensland legislation in this case. 

 

Thus, it is vital for each individual to have prepared a Will and have it updated as circumstances change, to avoid assets being distributed to unintended beneficiaries.

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