Probate

Following changes to the law you now have a choice in how you deal with Probate and Estate Administration. You can now choose from a range of qualified professionals including accountants to provide probate services.

Here at CH Jefferson & Co and CH Jefferson & Co Ltd we have a qualified and experienced team to help you with:

• Estate planning
• Inheritance tax planning
• Probate (non-contentious only)
• Estate administration

There are no legal requirements to appoint a professional to deal with Probate. However, the advice and assistance professionals offer can give assurance to executors that their responsibilities will be carried out keeping costs, time and risks to a minimum.

For our existing clients we already have a strong relationship and knowledge of finances and assets which can assist family members greatly following a bereavement. For those who are new to us our professional team will welcome you to provide the most efficient service we can.

CH Jefferson & Co Limited are authorised and regulated by CILEx Regulation to provide probate legal services. If we carry out both probate or letters of administration work and estate administration work, we are authorised and regulated by CILEx Regulation for the probate work alone. The estate administration work is carried out by our accounting arm, CH Jefferson & Co which is authorised by ACCA. You can talk to us if you need more information about this.

We are required to have Professional Indemnity Insurance (PII) which covers all work that we provide. This ensures that you do not lose out financially in the unlikely event that the firm makes a mistake. The PII covers work carried out by CH Jefferson & Co and CH Jefferson & Co Ltd and is provided by Great Lakes Insurance UK and Zurich Insurance Company Ltd.

CH Jefferson & Co and our sister company CH Jefferson & Co Limited can offer a range of services following on from a free initial consultation (up to 1 hour) with a dedicated case manager; these can include:

CH Jefferson & Co Limited, CILEx-ACCA Probate Entity will provide the following services:

• Send notifications of death to the relevant government organisations, financial institutions, utility providers etc.
• Ensure the validity of the will, codicils and legacies.
• Identify the beneficiaries based on the provided information.
• Advise whether a grant is required.
• Place statutory notices in The Gazette and a local newspaper.
• Prepare and take any appropriate oaths.
• Prepare the application for a grant of probate or grant of administration.
• Completing the statement of truth for Probate Registry
• Submit application for the grant of probate to the Probate Registry
• Obtain additional copies of the grant of probate or grant of administration.

CH Jefferson & Co, accountancy firm will provide the following services if instructed to administer the estate:

• Obtain a valuation of the estate.
• Finalise the income tax and capital gains tax position of the deceased for the tax year.
• Calculate the inheritance tax if applicable.
• Take control and gather the assets of the estate.
• Pay debts of the estate, including tax liabilities.
• Finalise the estate tax.
• Pay any legacies.
• Transfer the remaining balance to the residuary beneficiaries.
• Prepare the estate accounts.

Full administration of deceased estate involves:

• Obtaining valuations for the deceased’s assets and establishing all debts
• Co-ordinating property and asset insurance
• Calculating the total value of the estate for Inheritance Tax purposes
• Completing the required IHT 205 or IHT400 tax return
• Co-ordination of the payment of Inheritance Tax liabilities and liaising with HMRC
• Completing the statement of truth for Probate Registry
• Applying for the grant of representation (a grant of probate where the deceased left a valid will or if not, a grant of letters of administration)
• Administering the estate (gathering in the assets and settling the debts of the deceased)
• Paying legacies/ transferring property
• Dealing with Income and Capital Gains Tax liabilities of the estate
• Preparing the estate accounts
• Distributing the assets to the beneficiaries.

The length of time required to deal with such matters varies from case to case depending on the size and complexity of the estate.

For simple cases we will try and conclude the estate administration within 3-12 months of being instructed.

We allow 3-4 months for obtaining the Grant of Representation from the point we are instructed.

Collecting assets then follows, which can take a further 3-4 months.

Once this has been done, distribution of the assets normally takes a further 3-4 months.

Large and/or more complex estates will take longer to conclude as there will likely be Inheritance tax issues which will require us to liaise with HM Revenue and Customs (HMRC). HMRC can take up to 6 months to finalise their own position on an estate, and this increases the time it take for us to conclude the estate administration.

Where there are one or more properties in an estate that need to be sold, there might be a delay if a buyer is not found quickly.

The above estimates are for guidance only and vary depending upon the work involved.

All estate work can be tailored to each individual case, we can do as little or as much as you require at these difficult times.

The below are guide prices, we will discuss our fees on an individual case by case basis:

Obtaining a Grant

Where we are asked to just obtain the Grant of Probate or Letters of Administration and do no other work. You will provide us with all the information that we require, and we only complete the paperwork.

• Where no Inheritance Tax is payable £850 plus VAT of £170 total payable £1,020 plus disbursements
• Where inheritance Tax is payable £1,250 plus VAT of £250 payable £1,500 plus disbursements

Administering an Estate

Where we are asked to fully administer an Estate, including obtaining the Grant of Probate/Letters of Administration our charges may be calculated as follows:

• For estates where no Inheritance Tax is payable, and there has been no gifting during the previous 7 years of the Deceased’s lifetime and there are a maximum of 5 assets £2000 plus VAT of £400 total payable £2,400 plus disbursements.
• For estates where Inheritance Tax is payable, and there are less than 5 assets, £3,000 plus VAT of £600 total payable £3,600 plus disbursements.
• For estates where there are more than 5 assets, price is on request following an initial meeting or communication.

The above prices exclude disbursements, which are costs payable to third parties and vary per Estate (prices correct at time of publishing);

• Probate Registry fees £273
• Each additional copy of the Grant of Probate or Letters of Administration £1.50
• HM Land Registry Office Copy Entries £3.00
• Unclaimed Assets Registry Search £25.00
• Placing a notice in the London Gazette £80 plus VAT
• Placing a notice in a local newspaper £220 plus VAT

Our quotations are based on the estimated time and complexity of the estate based on the information provided by you, should we find that the time has been underestimated our hourly rate for handling the estate is £165 inclusive of VAT. Cases typically exceed the quoted fee when unknown information comes to light during the course of the work, for example an invalid Will, further assets are identified, properties are found to be not registered. Any understatement will be discussed and agreed with you at the time so that there are no surprises once the estate is complete.

Please find below example pricing for a range of estates we tend to deal with.

Example 1 – A simple estate, requiring administration, with a residential property, two bank account, no shares and two beneficiaries. The estate is valued at below £200,000.

Legal fees for the work of:

CH Jefferson & Co Ltd

• Drafting and submitting the application and the Probate Registry £1,000-00

CH Jefferson & Co

• Valuation of the estate
• Calculation of the Inheritance Tax (i.e verify non due)
• Administration of the estate £1,000-00

Applicable disbursements:

• Probate registry (i.e VAT not applicable) £273-00
• Four official copies of the grant of probate (VAT not applicable) £6-00
• Notice in local paper £220-00
• Notice in the London Gazette £80-00

VAT £460-00

Total for fees, disbursements, and VAT £3,039-00

Example 2 – A more complex estate with one residential property, three bank accounts, shares and four beneficiaries, The estate is valued at below £500,000

Legal fees for the work of:

CH Jefferson & Co Ltd

• Drafting and submitting the application and the Probate Registry £1,500-00

CH Jefferson & Co (the accountancy firm)

• Valuation of the estate
• Calculation of the Inheritance Tax
• Administration of the estate £1,500-00

Applicable disbursements:

• Probate registry fee (VAT not applicable) £273-00
• Four official copies of the grant of probate (VAT not applicable) £6-00
• Notice in local paper £220-00
• Notice in the London Gazette £80-00
• Fee for the valuation of the property £450-00
• Fee for the sale of the property £3,000-00

VAT £1,350-00

Total for fees, disbursements and VAT £8,379-00

Please note property valuation fees and conveyancing fees, are fees that will be paid to third-party providers so can vary significantly, but a quotation will always be obtained before the services of such third-party providers are engaged.

Please also remember this figure does not include any inheritance tax that may be payable.

Example 3 – A complex estate with two residential property, a business, four bank accounts, shares and six beneficiaries, The estate is valued at below £1,500,000

Legal fees for the work of:

CH Jefferson & Co Ltd

• Drafting and submitting the application and the Probate Registry £2,500-00

CH Jefferson & Co (the accountancy firm)

• Valuation of the estate
• Calculation of the Inheritance Tax
• Administration of the estate £3,500-00

Applicable disbursements:

• Probate registry fee (VAT not applicable) £273-00
• Four official copies of the grant of probate (VAT not applicable) £6-00
• Notice in local paper £220-00
• Notice in the London Gazette £80-00
• Fee for the valuation of the property £850-00
• Fee for the sale of the property £6,000-00

VAT £2,630-00

Total for fees, disbursements, and VAT £16,059-00

Please note property valuation fees and conveyancing fees, are fees that will be paid to third-party providers so can vary significantly, but a quotation will always be obtained before the services of such third-party providers are engaged.

Please also remember this figure does not include any inheritance tax that may be payable.

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