A Deed of Variation is a legal document that allows beneficiaries to redirect the way a deceased person’s estate is distributed after their death by altering the Will or Rules of Intestacy. The purpose of this is to redistribute some or all of the deceased person’s assets to beneficiaries other than those already entitled to the estate.
A Will is a document that allows you to decide what happens to your estate when you die. It usually appoints someone you trust to be able to manage your estate and affairs on your death. It is important to make sure that your Will reflects what you would want to happen to your estate if you were to die now. If you do not prepare a Will, or if you do not have a valid Will, your estate would be distributed in accordance with the Rules of Intestacy, which you can read more about here.
Should circumstances have changed on your death, your Personal Representatives can seek to amend your Will or change the application of the Intestacy Rules to better reflect your wishes. This can only be done if all of the estate beneficiaries agree to the proposed changes.
Legal requirements for a Deed of Variation
For a Deed of Variation to be valid, it must clearly outline the changes to be made and be signed and witnessed appropriately by all of the beneficiaries affected by the alteration. It must also be completed within 2 years of the death for inheritance tax and capital gains tax purposes.
For these reasons, we recommend you consult with specialist probate solicitors to ensure the document is drafted correctly and is therefore effective. Our experts at Johnson Astills would be pleased to assist you with the preparation and execution of a Deed of Variation.
Why should I prepare a Deed of Variation?
- To reduce the amount of Inheritance Tax or Capital Gains Tax payable;
- To include someone who was left out of the Will, or someone not entitled under the Rules of Intestacy, i.e. unborn grandchildren or a cohabiting partner;
- To put the deceased’s assets into a Trust;
- To avoid any uncertainty in the Will if it reads slightly ambiguous;
- To include gifts to charities.
If you have lost a loved one and you feel as though their Will or distribution as per the Intestacy Rules does not reflect their circumstances on death, please feel free to contact our expert solicitors at Johnson Astills who would be happy to speak to you about the possibility of preparing a Deed of Variation. You can call us at our office in Leicester or our office in Loughborough. Alternatively, you may prefer to email us at legal@johnsonastills.com or fill in our enquiry form.
