What happens after probate is granted?

Once you have been granted probate in NSW, the executor must collect the deceased’s assets and arrange to pay all debts or taxes including the deceased’s income tax. The possible liability for capital gains tax makes it crucial to find out the date and cost of acquisition of the deceased’s assets which could be subject to capital gains tax. Funeral expenses must be paid first, then executor expenses and finally the other debts of the deceased.

After payment of debts, the assets are either distributed according to the terms in the will or they are sold with the proceeds being divided among the beneficiaries.

As executor you might have to contact financial institutions and companies holding the deceased’s investments to realise those assets and become involved in selling various pieces of the deceased’s belongings such as jewellery, furniture, a caravan or a car.

You may have to open a bank account in the name of the estate, into which all funds owed to the estate should be deposited and from which debtors must be paid.