Offices in Ottawa and Perth
(613) 722-1500

CONTACT US (613) 722-1500

Global Connections and their Impact on Estate Planning

Global Connections and their Impact on Estate Planning

By:

Posted October 29, 2018

As our world becomes increasingly connected – legally, financially, physically and technologically – we as lawyers, in providing advice to you on estate planning, need to be constantly vigilant as to international issues which will affect your decision-making.

If, for example, you own vacation property in another country, we will have to explore whether or not the country in which the property is situate will recognize a Canadian will.  If it doesn’t, it becomes necessary to ensure that we understand the laws of succession in that other country – whether there are legislated rules for succession, or whether a will can be prepared in that country to deal with your wishes with regard to that property.  We will also need to help you sort out how what you do in that other country will affect you here with respect to the rest of your estate plan.

As another example, look at taxes – something that many don’t necessarily LIKE to think about, but which can have a significant impact on your estate plan.  In some jurisdictions (Germany, for example), there is succession tax – but, unlike what you would imagine, Germany taxes the beneficiary, not the estate.  So if you have a beneficiary in Germany, that beneficiary will pay tax on his/her inheritance from you.  This can in some cases result in double taxation when you look at the tax payable by the estate, and then by the beneficiary in Germany.   Careful planning can help reduce or eliminate the potential tax burden for this kind of situation.

Tax issues can also impact clients who, while residents and/or citizens of Canada, are citizens of other countries – the United States, for example –  where there is a requirement for the non-resident citizen to nevertheless file tax returns and pay taxes.  This obligation applies not only while the taxpayer is alive, but extends to the taxpayer’s estate upon the taxpayer’s death. Understanding the tax implications of death in that other country becomes key to being able to have a successful estate plan.

Don’t let the international aspects of your situation deter you!  We’re here to help you sort all of that out as part of developing a successful estate plan.

This blog post was written by Ted Mann, a Partner in the Wills and EstatesReal EstateBusiness and Bankruptcy teams.    He can be reached at 613-369-0368 or at ted.mann@mannlawyers.com.

More Resources

Blog |
Employment, Labour, and Human Rights, Commercial Litigation

By: 

Posted May 23, 2023

Both in my commercial and employment litigation practice, I encounter Ontario business owners faced with serious charges laid against them under the Provincial Offences Act[...]
Blog |
Family Law

By: 

Posted May 18, 2023

The recent Supreme Court of Canada decision in Anderson v. Anderson, 2023 SCC 13, provides guidance on domestic contracts and the enforceability of an informal[...]
Blog |
Environmental Law

By: 

Posted May 16, 2023

When many people think of contaminated sites, they think of the usual suspects such as industrial properties and gas stations.  They may not think of[...]
Blog |
Business Law

By: 

Posted May 9, 2023

Often business owners reach a point where they are considering the sale of their business either through the sale of shares or the sale of[...]
Blog |
Family Law

By: 

Posted May 2, 2023

Overview of Tort Claims in Family Matters Tort claims can be made in family law matters, so as to prevent a multiplicity of proceedings and[...]
Blog |
Employment, Labour, and Human Rights

By: 

Posted April 25, 2023

In a case that recently was decided from the Court of Appeal of Ontario called Celestini v Shoplogix Inc., 2023 ONCA 131, the Court had[...]

Subscribe to Our Newsletter

"*" indicates required fields

Name*
Consent*
This field is for validation purposes and should be left unchanged.