Patient, careful help for executors
Estate Tax Returns and Trust Filings in London, Ontario
Being named executor usually arrives at the hardest possible time, and the tax side of an estate is rarely explained clearly. A&P Accounting & Tax Experts prepares the final return, the optional returns, the T3 estate returns and the CRA clearance certificate request, so you can settle things properly and without guesswork.
We work with executors and estate trustees, adult children helping a surviving parent, and families managing a trust created under a will. Some estates are a pension and a bank account; others hold rental property, investment portfolios or shares in a family corporation.
We take the time to explain each filing, why it matters and when it is due, one step at a time. Nothing is filed until you understand it and are comfortable signing.
- 5.0 stars on Google
- Downtown London office
- In person or fully online
- Open Saturdays
What we file
Our Estate and Trust Tax Services for Executors
Settling someone’s tax affairs usually takes more than one return, and the order matters. The CRA’s guide to doing taxes for someone who died sets out the rules; our job is to apply them to the estate in front of you and make sure nothing is missed or paid twice.
Final (Terminal) T1 Return
The final return reports income from January 1 to the date of death. On that date, the person is treated as having sold all capital property at fair market value, a rule called the deemed disposition, so unrealized gains on investments, cottages and rental properties become taxable.
Property left to a spouse or spousal trust can roll over tax-deferred, and RRSPs or RRIFs left to a spouse or dependent child can avoid immediate tax. We apply every rollover, the principal residence exemption and final-year credits such as medical expenses and donations.
Rights or Things Return
A rights or things return is an optional, separate T1 for amounts owed to the person at death but not yet paid. Examples include unpaid salary or vacation pay for a completed pay period, dividends declared but not paid, and matured but uncashed bond interest.
Filing it lets the estate claim the basic personal amount and other credits a second time and use the low tax brackets again. It is due one year after death or 90 days after the final return’s notice of assessment, whichever is later.
T3 Estate and Trust Returns
Income the estate earns after death, such as interest, dividends, rent or gains on assets sold during administration, is reported on a T3 trust income tax and information return. Income paid to beneficiaries goes out on T3 slips and is taxed in their hands.
Designating the estate as a graduated rate estate (GRE) on its first T3 gives it individual tax rates for up to 36 months. We also prepare annual T3 returns for testamentary trusts that continue under a will.
Clearance Certificates (TX19)
A clearance certificate is the CRA’s written confirmation that all tax owed by the deceased and the estate has been paid or secured. You request it on Form TX19 after every return is assessed.
It protects you personally: distribute before receiving one and you can be liable for unpaid tax up to the value of what you handed out. Once the certificate is issued, that liability moves off the executor.
Inheritance and probate
Does Canada Have an Inheritance Tax?
No. Canada has no inheritance tax, and beneficiaries do not pay income tax on what they inherit. Instead, the tax is settled before the money is handed out: the deceased’s final return taxes the deemed gains on their property and the full value of any RRSP or RRIF not rolled to a spouse.
Ontario adds a separate charge, the Estate Administration Tax, often called probate fees. It is paid when the estate trustee applies to the Superior Court of Justice for a Certificate of Appointment of Estate Trustee.
How Ontario probate fees are calculated
- No tax on the first $50,000 of estate value
- $15 per $1,000, or part of $1,000, above $50,000
- A $650,000 estate pays $9,000 in Estate Administration Tax
- An Estate Information Return is due to the Ministry of Finance within 180 days after the certificate is issued
Assets that pass outside the estate, such as jointly owned property with right of survivorship or an RRSP, TFSA or insurance policy with a named beneficiary, are generally not counted for probate. Income tax on a registered plan can still fall on the estate, so the two calculations must be read together.
Just been named executor?
Call us before you distribute anything. We will map out the returns, the deadlines and what to hold back for tax.
Key dates
Executor Tax Deadlines
Estate deadlines are set by the date of death, not the usual April calendar, and missing one adds penalties and interest the beneficiaries end up paying. These are the dates executors in Ontario need to track.
| Filing | Due date |
|---|---|
| Final T1 return, death from January 1 to October 31 | April 30 of the following year (June 15 if the person or their spouse was self-employed, with any balance still due April 30) |
| Final T1 return, death in November or December | 6 months after the date of death |
| Prior-year T1, if death happened before it was filed | 6 months after the date of death |
| Rights or things return | One year after death or 90 days after the final return is assessed, whichever is later |
| T3 estate return | 90 days after the end of the estate’s tax year |
| Graduated rate estate status | Lasts up to 36 months after death, then the estate is taxed at the top rate with a December 31 year-end |
| Ontario Estate Information Return | 180 days after the Certificate of Appointment is issued |
| TX19 clearance certificate | After all returns are assessed; the CRA acknowledges within about 45 days and aims to decide within 120 days of a complete request |
Our process
How We Work With Executors
Most estates take one to three years to wind up fully, and the tax work runs alongside the legal work the whole way. Here is how that time usually unfolds with us beside you.
First Meeting and Document List
Bring the will, death certificate, recent tax returns and slips, and a list of assets and debts. We give you a checklist of anything else to request from banks, employers and pension plans.
Final Return and Optional Returns
We prepare the final T1 and test whether a rights or things or other optional return saves tax before recommending which to file.
Estate T3 Returns and Slips
We register the estate’s trust account, file a T3 for each year until the estate is wound up and issue T3 slips to beneficiaries.
Clearance Certificate and Final Distribution
Once every return is assessed, we submit the TX19 package online. Expect several months between the request and the certificate.
Handling a parent’s estate from out of town?
We can do everything by phone and secure portal. Call to talk through what the estate needs.
Fees
Estate Tax Return Fees
Estate work is quoted as a fixed fee once we see the will and an asset list. A simple estate with a pension and one bank account needs far less work than one holding rental property, a brokerage account with decades of trades or shares of a private company.
- How many returns are needed: final, prior-year, optional and each year’s T3
- Number and type of assets, especially real estate and non-registered investments
- Whether cost base records exist or must be reconstructed
- Private corporation shares, which can create double tax without post-mortem planning
- Whether prior years were left unfiled
Our fees for accounting and tax services in London explain how pricing works across the firm. Fees for estate returns are generally paid by the estate, not by you personally.
The A&P difference
Why Executors Choose A&P
Executors tell us the hardest part is not the tax, it is not knowing what comes next. We keep the process calm and predictable, and we explain things as many times as you need.
Patience and Plain Language
Grieving families should not have to decode tax jargon. Every return is walked through in plain words before you sign.
Coordination With Your Estate Lawyer
We share asset values, deadlines and holdback amounts with the estate lawyer so probate, tax filings and distribution stay in step.
Trusted by London Clients
Our 5.0-star Google rating from 11 reviews reflects clear explanations, attention to detail and quick replies.
Help for Executors Anywhere
Meet us downtown on Wellington Street or work entirely online, which suits executors who live outside London.
Estate and Trust Tax FAQs
Who files the tax return for someone who died?
The deceased person’s legal representative files it. In Ontario that is usually the estate trustee named in the will (often called the executor), or an administrator appointed by the court when there is no will.
The representative can hire an accountant to prepare the returns, but the legal responsibility for filing and for paying the tax stays with them.
Is an executor personally liable for unpaid taxes?
Yes, if the executor distributes the estate’s assets before getting a clearance certificate and tax later turns out to be owing. The CRA can collect from the executor personally, up to the value of what was distributed.
Requesting a TX19 clearance certificate and holding back enough to cover taxes until it arrives is the standard way to avoid that risk.
What is a graduated rate estate?
A graduated rate estate (GRE) is the estate that arises on a person’s death, for up to 36 months, when it is designated as such on its first T3 return. Unlike other trusts, which pay tax at the top rate, a GRE pays tax at the same graduated rates as an individual.
A GRE can also choose a non-calendar year-end, carry first-year capital losses back to the final return and claim charitable donations flexibly. Each person can have only one GRE.
Do I need a lawyer as well as an accountant?
Often, yes, because the two handle different jobs. An estate lawyer prepares the application for a Certificate of Appointment of Estate Trustee (probate), interprets the will, transfers real estate and deals with disputes between beneficiaries.
An accountant prepares the final return, any optional returns, the T3 estate returns and the clearance certificate request. We are an accounting firm, not a law firm, and we coordinate with your estate lawyer rather than replace one.
Keep exploring
Related Services and Areas We Serve
Estate work often leads to questions about the surviving spouse’s own returns, or about planning so the next generation faces a smaller tax bill. We help families across London and the nearby communities of Middlesex and Oxford County.
Personal Tax Returns
Personal tax returns for surviving spouses, including pension credits, the first return as a single filer and benefit applications.
Tax Planning
Tax planning for families and owner-managers that reduces the deemed disposition bill before an estate ever needs settling.
Estate Help for Strathroy
Final returns and T3 filings for Strathroy-Caradoc families, including estates with farmland and rural property.
Estate Help for Dorchester
Executor support for Dorchester and Thames Centre residents, about 20 minutes from our downtown London office.
Estate Help for Ingersoll
Estate tax returns and clearance certificates for Ingersoll and Oxford County executors, in person or online.
Talk to an Estate Tax Accountant in London
Call when you are ready and we will explain which returns the estate needs, what to gather first and what the work will cost. We are available Monday to Friday from 9 a.m. to 6 p.m. and Saturdays from 10 a.m. to 3 p.m.