Collyer Bristow logo


Private Wealth & Tax & Estate Planning & Trusts

Executors may not realise they have an Income Tax liability



The Telegraph reports this morning that many executors are not aware that they are liable to pay taxes on income produced by estate assets during probate.

Executors are personally liable to pay the tax and therefore, if they distribute the whole estate thinking there is nothing else to pay, they may find themselves hit with a liability they do not have the funds to meet.

Assets such as cyrptocurrencies and more sophisticated investments can make estates more complex and executors may feel that they need to take an increased amount of advice to ensure that all liabilities are dealt with properly.