PIOJ Growth-Inducement Strategy - Planning Institute of Jamaica

Table A1. Typical Statement of Account in a Probate Transaction
TO: Executors of Estate Mr X Dec'd
RE: Estate realty
DEBIT
CREDIT
APPRAISED VALUE OF REALTY 6,000,000.00
Mortgage debt owed
J$ 3,000,000.00
Estate Duty- 4% Transfer Tax on Death 120,000.00
Probate Application - Court Stamp Duty 2,120.00
Grant of Probate -3% Stamp Duty 180,000.00
Registration fee- note death on title 1,000.00
Registration fee- note Executors on Transmission on title, 30,000.00
4% Transfer Tax on sale of realty 240,000.00
3% Stamp Duty on sale -half paid by estate
180,000.00 half- 90,000.00
.5% Registration fee on transfer, 30,000.00 half- 15,000.00
Title Search & copy Title - Titles Office 1,000.00
3% Attorneys Fee to obtain probate, note death & Executors on title 180,000.00
3% Attys Fee on sale Transfer 180,000.00
Sale Agreement costs-half paid by estate 30,000.00 half- 15,000.00
Attorneys Miscellaneous services cost 15,000.00 half- 7,500.00
Attorneys Fee re undertaking to pay Estate Duty 25,000.00
17.5% G.C.T. on Legal fees & Services costs 71,312.50
Toll calls,fax, registered mail & courier charges 5,000.00
Bank & accounting charges (6 managers cheques @$200) 1,200.00
Funeral expenses 200,000.00
17.5% G.C.T. on funeral expenses over $100,000 17,500.00
Property taxes arrears 5,000.00
Certified copies of death certificates 5,000.00
5% Real Estate Agents commission on sale 300,000.00
17.5% G.C.T. on Agents commission 52,500.00
Executors 6% Estate commission 360,000.00
270,000.00
25% Income tax on Executors commission 90,000.00
Net sale proceeds for distribution to beneficiaries $985,867.50
TOTAL $6,000,000.00 6,000,000.00
E.& O.E.
EXPENSE
ANALYSIS SHARE (%)
GOVT.'S take- Trans Tax, Stamp Duties, Reg fees, GCT, Property tax 830,432.50 27.7
Attorneys fees 407,500.00 13.6
Death event & Transaction disbursements 476,200.00 15.9
Real Estate Agent fees 300,000.00 10.0
Total expenses of Probate & sale $ 2,014,132.50 67.1
Total sale income 6,000,000.00
Less Estate expenses & mortgage debt $ 5,014,132.50
Net sum after expenses for distribution to beneficiaries $ 985,867.50 32.9
Source: Information supplied by Mr. Alton E. Morgan, Attorney-at-Law.
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