LEARN · ESTATE ADMINISTRATION
Deceased Estate Administration South Africa — The Complete Guide
HIGH DISCLAIMERWhen a South African resident dies, their estate must be formally administered under the Administration of Estates Act 66 of 1965. The executor — appointed by the Master of the High Court via Letters of Executorship — reports the estate, files inventory, advertises for creditors, prepares the Liquidation and Distribution account, pays estate duty, and distributes to beneficiaries. Estates below R250,000 gross value qualify for the simplified Section 18(3) Letters of Authority route. The estate duty abatement is R3,500,000 under Section 4A(1) of the Estate Duty Act 45 of 1955 — estates with a net dutiable value below this pay zero estate duty. The executor's maximum remuneration is 3.5% of gross estate value (capital fee) plus 6% of post-death income collected (income fee) under Section 51(1).
R3,500,000
Estate duty abatement
s4A(1) Estate Duty Act 45/1955
20%
Estate duty rate tier 1
Dutiable amount ≤ R30,000,000
25%
Estate duty rate tier 2
Dutiable amount above R30,000,000
3.5%
Executor capital fee (max)
s51(1) Admin of Estates Act
R250,000
Section 18(3) threshold
Letters of Authority — simplified route
6 months
L&D filing deadline
From Letters of Executorship — s35
WHAT ESTATE ADMINISTRATION INVOLVES
Four Acts, one process — and why families who are unprepared pay a high price
A South African family who loses a parent and has no understanding of the estate administration process faces 18–24 months of uncertainty: frozen bank accounts, outstanding debts, creditor claims, and potential personal liability if the nominated executor fails to comply with statutory deadlines. The process is governed by four Acts simultaneously — the Administration of Estates Act (procedural framework), the Estate Duty Act (tax on the estate), the Intestate Succession Act (distribution where there is no will), and the Matrimonial Property Act (accrual claims between spouses). Missing any one statutory deadline — the six-month L&D filing window, the 30-day creditor period, the 12-month estate duty payment deadline — extends the process and exposes the executor to personal liability and SARS interest at 6% per annum on late estate duty.
The Administration of Estates Act 66 of 1965 creates a supervised administration process through the Master of the High Court. The Master's office in the relevant jurisdiction issues Letters of Executorship, reviews the J243 inventory, inspects the Liquidation and Distribution (L&D) account during its 21-day inspection period (online publication now accepted per Master's Circular 6 of 2025), and approves the final distribution. A critical and frequently misunderstood rule: no bank, insurer, pension fund, or transfer attorney may release or deal with estate assets without sighting the Letters of Executorship or Letters of Authority — this prohibition arises under Section 13(1). Section 13(1) is a gatekeeping provision — it is not a bank release mechanism. It protects beneficiaries and creditors by preventing estate assets from being dissipated before the formal process is complete.
Estate duty under the Estate Duty Act 45 of 1955 is levied on the dutiable amount of the estate. The dutiable amount is the gross estate value after all allowable Section 4 deductions (debts owed at death, funeral costs, administration costs, specific charitable bequests, and the spousal deduction under Section 4(q)) minus the Section 4A abatement of R3,500,000. The Section 4(q) deductionis the most powerful estate duty planning tool available in South Africa — it allows the full value of any property bequeathed to a surviving spouse to be deducted from the gross estate, potentially reducing the dutiable amount to zero on the first death. The unused portion of the first-dying spouse's abatement is then portable to the survivor's estate under Section 4A(2)–(4), giving the surviving spouse a potential combined abatement of up to R7,000,000 when they die.
Where a South African dies without a valid will, the Intestate Succession Act 81 of 1987 determines distribution. The statutory formula: each surviving spouse receives R250,000 or a child's share (net estate divided by the total number of surviving spouses plus children) — whichever is greater. The remainder is divided equally among children. A landmark amendment effective 3 April 2024(Justice Matters Amendment Act 15 of 2023) recognises permanent life partners who had a reciprocal duty of support as spouses for intestate succession purposes. This changes the distribution formula for many South African estates where the deceased was in a long-term permanent partnership without a formal marriage — and requires executors to carefully determine whether any surviving partner qualifies under this provision before preparing the L&D account.
The Section 4(q) Spousal Deduction — eliminating duty on the first death
Section 4(q) of the Estate Duty Act is unlimited — it can eliminate the entire dutiable estate if all assets pass to the surviving spouse. A R5,000,000 estate in which everything is bequeathed to the surviving spouse attracts zero estate duty— regardless of the R3,500,000 abatement, because the Section 4(q) deduction is applied before the abatement. The assets then form part of the surviving spouse's estate on the second death, but the portable unused abatement from the first-dying spouse can be claimed, giving the survivor up to R7,000,000 in combined abatements.
Source: Section 4(q) · Estate Duty Act 45/1955 · Section 4A(2)–(4)
ESTATE DUTY FIGURES
Estate Duty Act 45/1955 · Budget 2026/27
Basic abatement s4A(1)
R3,500,000
Unchanged since 2010
Combined spousal max s4A(2)–(4)
R7,000,000
Portable unused abatement
Duty rate — tier 1
20%
Dutiable amount ≤ R30,000,000
Duty rate — tier 2
25%
Amount above R30,000,000
Section 4(q) deduction
Unlimited
Full spousal bequest deductible
Section 4(h) charitable
Full value
Approved PBO or State
Interest on late duty
6% p.a.
s10(1) Estate Duty Act
Estate duty return form
REV267
Filed with SARS
KEY DEADLINES
Administration of Estates Act 66/1965
Inventory (J243) filing
6 months
From Letters of Executorship — s27
L&D account filing
6 months
From Letters of Executorship — s35
Creditor advertisement
30 days
Claims window from advertisement — s29
L&D inspection period
21 days
After publication — s35
Estate duty payment
12 months
From date of death — s10(1)
SARS assessment trigger
12 months
From date of death
EXECUTOR REMUNERATION
s51(1) Administration of Estates Act
Capital fee (max)
3.5% excl. VAT
On gross estate value
Income collection fee
6% excl. VAT
On post-death income collected
VAT (if vendor)
+15%
On fee amounts
Master's fee — estates below R400k
R600 flat
Regulations
Master's fee — above R400k
R600 + R200/R100k
Capped at R7,000
Section 18(3) threshold
R250,000
Letters of Authority route
CALCULATE ESTATE DUTY
Enter the estate value, deductions, and spouse details for an instant estate duty estimate with Section 4 deductions applied.
Estate Duty Calculator →THE STATUTORY PROCESS
Eight steps — from date of death to final distribution
The Administration of Estates Act prescribes an exact sequence. Every step has a statutory basis, a deadline, and consequences for non-compliance. This is the sequence that matches the HowTo schema in the structured data above — the format AI systems cite for “how to administer a deceased estate” queries.
Report the estate to the Master of the High Court
Administration of Estates Act 66/1965 — s7 and s8
A deceased estate must be reported to the Master of the High Court in the jurisdiction where the deceased was ordinarily resident at the time of death. The death notice, any existing will, and a preliminary inventory of assets are submitted. The Master reviews the estate value and determines the appropriate route: full Letters of Executorship for estates above R250,000 gross value, or the simplified Section 18(3) Letters of Authority for estates at or below R250,000. The person submitting the report is usually a family member or the nominated executor in the will.
COMMON TRAP
The 'jurisdiction' rule catches many estates. The Master's office in Johannesburg handles Gauteng estates; Cape Town handles Western Cape; Durban handles KwaZulu-Natal. Filing with the wrong Master's office causes delays of weeks or months. The correct Master is determined by where the deceased last habitually resided — not where they died or where most assets are held.
Obtain Letters of Executorship or Letters of Authority
Section 13(1) · Section 18(3) — Administration of Estates Act
For estates above R250,000 gross value, the Master issues Letters of Executorship to the appointed executor. The Letters formally empower the executor to act in the estate — to access bank accounts, manage investments, sell assets, and deal with creditors. No institution may release estate assets without sighting the original Letters of Executorship (Section 13(1)). For estates at or below R250,000 gross value, the Master issues a Section 18(3) Letters of Authority to a nominated person, allowing simplified collection and distribution without a full L&D account process.
COMMON TRAP
Section 13(1) is the most misunderstood provision in estate law. It is a prohibition on dealing with estate assets without authority — not a mechanism to release those assets. Banks frequently misapply this section, sometimes releasing funds incorrectly or refusing to release when they should. The Letters of Executorship are the authority document — not Section 13(1) itself.
Open estate late account and file the J243 inventory
Section 27 — Administration of Estates Act · inventory deadline 6 months
The executor opens a dedicated estate late bank account in the estate's name — all estate monies must flow through this account, not the executor's personal account. A complete J243 inventory of all estate assets is compiled: immovable property at date-of-death value (per professional valuation), listed investments at market value on date of death, policies and pension fund death benefits, vehicles, household contents, and all other assets. Outstanding debts owed to the estate are also listed. The inventory must be filed with the Master within six months of Letters of Executorship being issued.
Advertise for creditors and collect assets
Section 29 — 30-day creditor claim window
The executor publishes a notice to creditors in the Government Gazette and a local newspaper as prescribed under Section 29 of the Act. Creditors have 30 days from the date of publication to submit claims against the estate. Simultaneously, the executor actively collects estate assets — recovering outstanding debts owed to the deceased, encashing policies and submitting death claims, transferring investment accounts, arranging professional property valuations for the L&D account, and dealing with any business interests. Debts confirmed within the creditor period must be settled from estate assets before distribution.
Prepare and file the Liquidation and Distribution account
Section 35 — 6-month filing deadline from Letters of Executorship
The L&D account is the central document of the administration. It sets out: all assets in the estate (liquidation account); all liabilities — debts, funeral costs, executor fees, Master's fees, and estate duty (if applicable); and the proposed distribution to heirs and legatees (distribution account). The L&D must be lodged with the Master within six months of Letters of Executorship. Applications for extension must be made to the Master before the deadline expires — retrospective extensions are not guaranteed. A poorly prepared L&D is the most common cause of estate administration delays.
COMMON TRAP
The six-month deadline runs from the date of Letters of Executorship — not from the date of death, and not from the date the executor formally accepts the appointment. Executors who lose track of this deadline face formal queries from the Master's office and potential personal liability for delays.
L&D account inspection — 21 days for objections
Section 35 — 21-day inspection period · Circular 6 of 2025
Once the Master approves the L&D account for inspection, the executor must publish notice that it lies open for inspection for 21 days. During this period, any interested party — heir, creditor, beneficiary, or next-of-kin — may inspect the account and lodge a formal objection. As of Master's Circular 6 of 2025, online publication of the L&D account is accepted in lieu of physical newspaper advertising in some jurisdictions. If no valid objections are received within 21 days, the account is confirmed and the executor may proceed to distribution.
File estate duty return and obtain SARS clearance
REV267 · Section 10(1) Estate Duty Act · 12-month payment deadline
If estate duty is payable, the executor files the REV267 estate duty return with SARS and pays the duty within 12 months of the date of death. Late payment attracts interest at 6% per annum under Section 10(1) of the Estate Duty Act. Before estate duty can be finalised, the deceased's final income tax return (ITR12) for the year of death must be submitted — including CGT on the deemed disposal of all capital assets at market value on the date of death (Eighth Schedule, paragraph 40 of the Income Tax Act). The CGT year-of-death exclusion of R440,000 (versus R50,000 in a normal year) partially offsets the deemed disposal impact. SARS issues an estate duty clearance once all obligations are settled.
COMMON TRAP
Many executors file the estate duty return without first submitting the final ITR12 — or without calculating the CGT on the deemed disposal. SARS reconciles these obligations. An estate with a large investment property portfolio or share portfolio can have significant CGT on deemed disposal that must be quantified and included in the L&D account before the estate duty calculation is finalised.
Distribute assets to beneficiaries and close the estate
Administration of Estates Act — final distribution after confirmed L&D
After the L&D account is confirmed, estate duty is paid, and SARS clearance is obtained, the executor distributes assets to beneficiaries in accordance with the confirmed account. Immovable property is transferred in the Deeds Registry — the executor signs as seller and the heir takes transfer as buyer. Cash distributions are made from the estate late bank account. All beneficiaries sign receipts. The executor sends the finalisation documents to the Master and closes the estate late bank account. The estate is formally wound up. Where an asset cannot be distributed (for example, a property dispute or an untraced beneficiary), the executor must make separate arrangements approved by the Master.
ESTATE DUTY CALCULATION
The Section 4 deduction sequence — how the dutiable amount is calculated
Estate duty is not calculated on the gross estate value. A specific sequence of deductions under Section 4 of the Estate Duty Act must be applied in order before the abatement is subtracted and the duty rates are applied. The order matters — the Section 4(q) spousal deduction is applied before the abatement, which is why it can reduce the dutiable amount to zero even on a large estate.
Section 4 Deduction Sequence — Estate Duty Act 45 of 1955
Applied in this order before the Section 4A abatement
| Section | Deduction | Amount deductible | Notes |
|---|---|---|---|
| s4(a) | Funeral costs and tombstone | Actual reasonable cost | No cap specified — must be reasonable |
| s4(b) | Debts due by deceased at death | Full amount of proven debts | Bond, credit cards, tax, medical — all debts owed at date of death |
| s4(c) | Administration and liquidation costs | Actual costs | Includes executor fees, Master's fees, conveyancing |
| s4(f) | Property received from estate of another person | Full value | Only where deceased inherited within 2 years before own death |
| s4(h) | Charitable bequests — approved PBOs or State | Full value bequeathed | PBO must be approved under s30 of the Income Tax Act |
| s4(q) | Property accruing to surviving spouse | Full value — unlimited | Most powerful deduction — can reduce dutiable amount to zero |
| s4A(1) | Section 4A abatement | R3,500,000 | Applied AFTER all Section 4 deductions — unchanged since 2010 |
| Dutiable amount | Gross estate − all Section 4 deductions − R3,500,000 abatement = dutiable amount | ||
| Estate duty payable | 20% on dutiable amount up to R30,000,000 + 25% on amount above R30,000,000 | ||
WORKED EXAMPLES
Five estate scenarios — every major situation covered
Each example applies the full statutory calculation with real Rand figures. Scenarios cover: small estate via Letters of Authority, spousal rollover with zero duty, dutiable estate with full calculations, intestate distribution formula, and a large estate triggering the 25% second tier.
Small estate — R180,000 gross value, Section 18(3) Letters of Authority route
Nomsa dies leaving an estate consisting of a bank account balance of R95,000, a vehicle valued at R55,000, and household contents valued at R30,000. Total gross estate value: R180,000. She left a valid will bequeathing everything to her daughter. Her estate has no debts and the funeral costs were R18,000.
At R180,000, the estate is well below the R250,000 Section 18(3) threshold. The daughter can apply for Letters of Authority from the Master — a simplified process that avoids the full L&D account requirement. No estate duty is payable — the gross estate is far below the R3,500,000 abatement. Total administration cost: Master's fee R600 flat plus any conveyancing for the vehicle transfer.
Spousal rollover — R5,200,000 estate, everything to surviving spouse, zero duty
Thabo dies leaving an estate of R5,200,000: a primary residence valued at R3,800,000 and investments of R1,400,000. He owes a bond of R650,000 and credit card debt of R28,000. Funeral costs were R42,000. His valid will bequeaths everything to his surviving wife, Nompumelelo. She does not have her own estate — this is their only significant wealth.
The Section 4(q) spousal deduction eliminates the dutiable amount entirely — zero estate duty on the first death. Nompumelelo receives the full estate. When she dies, her executor can claim the portable unused abatement from Thabo's estate (R3,500,000 unused) in addition to her own R3,500,000 abatement — potentially giving the combined estate up to R7,000,000 in abatements on the second death.
Dutiable estate — R6,800,000 gross, no surviving spouse, estate duty calculated
Sipho, a widower, dies leaving a gross estate of R6,800,000: a primary residence (R3,200,000), investment portfolio (R2,400,000), retirement annuity death benefit (R900,000 — paid outside the estate directly to nominated beneficiary and excluded from estate duty), and a vehicle (R300,000). Outstanding debts: bond R480,000, personal loans R85,000. Administration costs including executor fees (3.5% + VAT) and Master's fee. Funeral costs R52,000. No charitable bequests.
Note: the retirement annuity death benefit of R900,000 passes directly to the nominated beneficiary outside the estate and is excluded from estate duty. This is one of the most effective estate planning mechanisms available to South Africans — retirement fund death benefits bypass both estate duty and executor fees.
Intestate succession — no will, two children and a surviving spouse
James dies without a valid will (intestate). His net estate after all debts, costs, and estate duty is R2,100,000. He is survived by his wife and two adult children from the marriage. No will exists. The Intestate Succession Act 81 of 1987 governs distribution.
The statutory formula: each surviving spouse and each child receives the greater of R250,000 or a child's share (net estate divided by the total number of spouses plus children). At R2,100,000 with three beneficiaries (one spouse, two children), the child's share is R700,000 — which exceeds R250,000. Each beneficiary therefore receives R700,000 equally.
Large estate above R30,000,000 — 25% second tier applies
Nompumelelo, a successful businesswoman and widow, dies leaving a gross estate of R42,000,000: commercial property R28,000,000, share portfolio R9,000,000, business interest R3,500,000, and offshore investment R1,500,000. No surviving spouse. Debts of R1,800,000. Charitable bequest (Section 4(h)) to an approved PBO of R2,000,000. Administration costs including executor fees (3.5% + VAT): R1,690,500. Funeral costs R85,000.
This estate triggers the 25% second-tier rate on the portion above R30,000,000. The total estate duty of R7,524,500 is the most significant single cost in the estate — exceeding even the executor's substantial fee. This is precisely the type of estate where proactive planning using the Section 4(q) spousal deduction and inter-vivos trusts during the deceased's lifetime would have yielded material estate duty savings.
COMMON MISTAKES
Six estate administration errors with serious consequences
Misapplying Section 13(1) as a bank release provision
Section 13(1) of the Administration of Estates Act prohibits any person from dealing with estate assets without Letters of Executorship or Letters of Authority. This is a prohibition on others — not a mechanism that releases funds. Banks, insurers, and transfer attorneys frequently invoke Section 13(1) incorrectly, either refusing valid releases or releasing prematurely. The correct position: once Letters of Executorship are issued by the Master, banks and institutions are legally obliged to release estate assets to the executor. Section 13(1) is the reason they cannot act without the Letters — the Letters are the authority to act.
s13(1) Administration of Estates Act 66/1965Missing the six-month L&D filing deadline without applying for an extension
The Liquidation and Distribution account must be filed with the Master within six months of Letters of Executorship — not from the date of death. Extensions are available but must be requested before the deadline expires. Retrospective extensions are at the Master's discretion and are not guaranteed. An executor who misses the six-month window and did not apply for extension faces formal query from the Master's office, potential removal as executor, and personal liability for losses caused by the delay. Many estates with complex assets — a business interest, offshore investments, a disputed property valuation — need the extension and should apply for it proactively at month four.
s35 Administration of Estates Act — L&D deadlineNot applying the Section 4(q) spousal deduction — paying estate duty unnecessarily
An executor who prepares the estate duty return without correctly applying the Section 4(q) spousal deduction will calculate and pay estate duty that is not owed. The deduction is unlimited — the full value of any property accruing to the surviving spouse is deductible. This includes property that passes by intestate succession (not just by will). An estate in which the surviving spouse inherits everything has a dutiable amount of zero — regardless of the total estate value — because the Section 4(q) deduction is applied before the abatement. Executors must identify whether a surviving spouse exists and apply this deduction before submitting the REV267.
s4(q) Estate Duty Act 45/1955 — spousal deductionFailing to claim the portable unused abatement on the second death
When the first-dying spouse passes everything to the surviving spouse under Section 4(q), zero estate duty is payable and the full R3,500,000 abatement is unused. Section 4A(2)–(4) of the Estate Duty Act allows the executor of the surviving spouse's estate to claim this unused abatement in addition to the surviving spouse's own abatement — potentially giving the second estate a combined deduction of up to R7,000,000. Many executors handling the surviving spouse's estate years later are unaware that the first estate ever existed, or have no documentation of the first estate. The executor of the first estate must document the unused abatement clearly for the benefit of the eventual executor of the surviving spouse.
s4A(2)–(4) Estate Duty Act — portable unused abatementNot calculating CGT on the deemed disposal before filing the estate duty return
On the date of death, the Income Tax Act deems the deceased to have disposed of all capital assets at market value (Eighth Schedule, paragraph 40). This triggers CGT on all unrealised capital gains in the estate — investment property, shares, business interests. The CGT liability must be calculated and included in the deceased's final ITR12 before the estate duty return is filed — because the CGT payable is itself a debt owed by the estate (a Section 4(b) deduction). An executor who files the estate duty return before the final ITR12 has been assessed by SARS, and who has not quantified the CGT liability, will prepare an incorrect L&D account. The year-of-death CGT exclusion of R440,000 (versus R50,000 normally) partially offsets the impact and must always be applied.
Eighth Schedule para 40 ITA — deemed disposal · s4(b) Estate Duty ActNot recognising permanent life partners as spouses post-April 2024
Since 3 April 2024, the Justice Matters Amendment Act 15 of 2023 amended the Intestate Succession Act to include permanent life partners with a reciprocal duty of support in the definition of 'spouse' for intestate succession. An executor administering an intestate estate where the deceased was in a long-term permanent partnership must now assess whether the surviving partner qualifies under this provision before preparing the distribution account. Distributing the estate to children only — ignoring a qualifying permanent life partner — exposes the executor to legal challenge and personal liability. Documentation of the relationship and the existence of a reciprocal duty of support is essential.
Intestate Succession Act 81/1987 — s1(1A) added by JMAA 15 of 2023 · Effective 3 April 2024FREQUENTLY ASKED QUESTIONS
Estate administration — questions families and executors ask
What is the estate duty abatement in South Africa for 2026?
The estate duty abatement under Section 4A(1) of the Estate Duty Act 45 of 1955 is R3,500,000 — unchanged since 1 January 2010. Estates with a net dutiable value at or below R3,500,000 pay zero estate duty. Where the first-dying spouse did not fully use their abatement, the unused portion is portable to the surviving spouse's estate under Section 4A(2)–(4), potentially giving the survivor a combined abatement of up to R7,000,000.
How are executor fees calculated in South Africa?
Executor remuneration under Section 51(1) of the Administration of Estates Act 66 of 1965 comprises: a capital fee of maximum 3.5% (excluding VAT) on the gross estate value; and a separate income collection fee of maximum 6% (excluding VAT) on all post-death income collected. If the executor is a registered VAT vendor, 15% VAT is added to both fees. These are maximum rates — the executor and heirs may negotiate lower fees.
What is the difference between Letters of Executorship and Letters of Authority in South Africa?
Letters of Executorship are issued by the Master of the High Court for estates above R250,000 gross value, requiring the full Administration of Estates Act process including a Liquidation and Distribution account. Letters of Authority are issued under Section 18(3) for estates at or below R250,000, allowing simplified collection and distribution without a formal L&D account. The threshold is gross estate value — not net value after debts.
What happens to a deceased estate without a will in South Africa?
The Intestate Succession Act 81 of 1987 governs distribution. Each surviving spouse receives R250,000 or a child's share (net estate divided by spouses plus children) — whichever is greater. The remainder is divided equally among children. From 3 April 2024, permanent life partners with a reciprocal duty of support are recognised as spouses for intestate succession purposes under the Justice Matters Amendment Act 15 of 2023.
Does the surviving spouse pay estate duty in South Africa?
Property bequeathed to a surviving spouse is deductible from the gross estate under Section 4(q) of the Estate Duty Act — unlimited in amount. If everything passes to the surviving spouse, the dutiable amount is zero and no estate duty is payable on the first death. The unused abatement from the first-dying spouse's estate is then portable to the survivor's estate on the second death, up to a combined maximum of R7,000,000.
What are the filing deadlines for a deceased estate in South Africa?
Key deadlines under the Administration of Estates Act: J243 inventory — within 6 months of Letters of Executorship (s27); L&D account — within 6 months of Letters of Executorship (s35); creditor window — 30 days from advertisement (s29); L&D inspection — 21 days after publication (s35); estate duty payment to SARS — within 12 months of date of death, with interest at 6% p.a. on late payment. Extensions for the L&D deadline must be requested before the deadline expires.
How is the estate duty dutiable amount calculated in South Africa?
Start with gross estate value. Deduct Section 4 items in order: s4(a) funeral costs; s4(b) debts owed at death; s4(c) administration and liquidation costs; s4(f) property inherited within 2 years; s4(h) charitable bequests to approved PBOs; s4(q) property to surviving spouse. Then subtract the s4A(1) abatement of R3,500,000. The result is the dutiable amount. Apply 20% up to R30,000,000 and 25% on the amount above R30,000,000.
What is the Section 4(q) deduction in estate duty?
Section 4(q) of the Estate Duty Act allows the full value of any property bequeathed or accruing to a surviving spouse to be deducted from the gross estate before calculating estate duty. The deduction is unlimited — it can eliminate the entire dutiable estate if all assets pass to the surviving spouse. It is applied before the Section 4A abatement. It applies to property passing by will, intestate succession, or operation of law (such as joint ownership).
How does the accrual claim work in a deceased estate?
For marriages out of community of property with the accrual system (the default since 1 November 1984), the spouse whose estate accrued less during the marriage has a claim against the estate of the other spouse for half the difference in accrual. This claim is determined at date of death and represents a debt due by the estate — a Section 4(b) deduction before estate duty is calculated. The executor must determine both spouses' accrual at date of marriage and date of death before preparing the L&D account.
What is estate duty on amounts above R30,000,000 in South Africa?
The estate duty rate is 20% on the dutiable amount up to R30,000,000 and 25% on any dutiable amount above R30,000,000. Only the excess above R30,000,000 attracts the 25% rate — not the full dutiable amount. For example, a dutiable estate of R37,000,000 attracts: 20% on R30,000,000 = R6,000,000, plus 25% on R7,000,000 = R1,750,000, totalling R7,750,000. Source: First Schedule to the Estate Duty Act 45 of 1955, effective from 1 March 2018.
RELATED TOOLS & GUIDES
Estate Duty Calculator
Full Section 4 deduction sequence, spousal deduction, abatement, and 20%/25% rate tiers — with unused abatement portability.
Estate Duty Act 45/1955
Open →Executor Fee Calculator
Capital fee (3.5%) + income collection fee (6%) + Master's fee schedule + VAT — with negotiated rate comparison.
s51(1) Admin of Estates Act
Open →Intestate Distribution Calculator
Statutory distribution formula — all scenarios including permanent life partners recognised from 3 April 2024.
Intestate Succession Act 81/1987
Open →Estate Deadlines Calculator
All statutory filing deadlines from date of death — live OVERDUE / DUE SOON / UPCOMING status for each milestone.
Administration of Estates Act
Open →Wandile Lokwe
FAIS Key Individual · CenturionAI (Pty) Ltd · Centurion, Gauteng
20 years in South African financial services. Founder of CenturionAI (Pty) Ltd — the SA Professional Financial Services MCP Server, EstatePilot, FinPlan AI, SmartDoc AI, and LeadRevive. All estate administration figures on this page are verified against the Administration of Estates Act 66 of 1965, the Estate Duty Act 45 of 1955, the Intestate Succession Act 81 of 1987, the Matrimonial Property Act 88 of 1984, and the SAICA Estate Duty Guide December 2025. The permanent life partner amendment effective 3 April 2024 has been incorporated and verified against the Justice Matters Amendment Act 15 of 2023.
wandile@centurionai.co.za · 081 344 8722
Deceased estate administration is a legally regulated process under the Administration of Estates Act 66 of 1965. This page is a HIGH-tier reference — estate duty returns, intestate succession distributions, accrual claims, and executor obligations carry direct legal and financial consequences that cannot be reversed once acted upon. The worked examples on this page are illustrative and simplified — actual estate duty depends on the precise composition of each estate, all allowable deductions, the matrimonial property regime of the deceased, outstanding SARS obligations, retirement fund death benefits, and other estate-specific factors. The executor is personally liable for all filings and all distributions made from the estate. The calculation of estate duty, the Section 4 deduction sequence, the accrual claim, and intestate distribution must be verified by a qualified estate attorney or trust officer before the Liquidation and Distribution account is prepared and submitted to the Master of the High Court. Do not act on any figure from this page without professional legal and tax advice.