“Cover all
the angles”
Related links 
Make an enquiry
Read more articles in: Blog, Private Client, Rachel Blackburn
When someone dies and their estate includes assets abroad (anything from a holiday villa in Spain to a bank account in Dubai), the probate process can often become more complicated.
However, this does not mean it needs to become overwhelming.
If you are responsible for managing an estate that spans multiple countries, you are likely to come up against a few unfamiliar challenges.
Different laws. Different languages. Different ways of dealing with tax.
This is where it helps to have a firm grip on the key questions you need to ask at the outset.
It might sound obvious, but pinning down the location of foreign assets is the important first step.
The laws governing how assets are dealt with after death vary considerably from one country to another.
For example, the process of proving a Will in France is very different to doing so in the UK.
Some jurisdictions require a local lawyer to be instructed. Others may not recognise a UK Grant of Probate at all.
Knowing what you are dealing with from the beginning will save both time and cost.
People with assets in more than one country often choose to make more than one Will, one for the UK and one for each country where assets are held.
If there is only a UK Will, you will need to check whether it is valid and enforceable in the country where the foreign asset is located.
The UK is a common law country, where you generally have the freedom to leave your estate to whomever you choose.
In contrast, many civil law countries such as France, Italy, and Portugal, follow ‘forced heirship’ rules, which restrict how assets can be passed on.
This means that even if the deceased had a valid UK Will, local laws may override it regarding property or other assets located there.
Cross-border estates are often at risk of double taxation. Once in the UK, under Inheritance Tax rules, and again in the country where the asset is based.
The UK has double taxation agreements with some countries (such as the USA and Ireland), which may help reduce the burden.
Not all countries have such agreements, so you should ask early on whether specialist tax advice is needed, especially for high-value estates or complex holdings.
In some countries, particularly those with legal systems based on English law (such as parts of Australia or Canada), it may be possible to reseal the UK Grant of Probate so that it is recognised locally.
In others, a new and separate Probate process may need to be started from scratch in the local jurisdiction.
Understanding whether resealing is possible or not can impact how long the administration takes and how much it costs.
If foreign assets are to be sold or transferred, there will usually be a point at which they need to be converted into sterling.
Exchange rate fluctuations can have a real effect on the value of the estate and the sums received by beneficiaries.
It is worth checking how currency exchange will be handled, what rates will apply, and whether any costs (such as international transfer fees) will be deducted from the estate.
If you are dealing with an estate that includes property or assets abroad, we are here to help.
Our private client team can provide clear, practical advice and guide you through the process. Speak to us today for further assistance.
Head of Wills, Probate and Older Client Services
I joined Mander Hadley’s Wills, Probate and Older Client Services Team in 2018.I specialise in the preparation of Wills, Probate and estate administration, trusts and trust administration and Lasting Powers of Attorney. I also have experience of care fee planning and appeals of Continuing Health Care decisions.
Latest posts by Rachel Blackburn (see all)
