When a will trust commences depends on the circumstances.
A will may direct that a specific legacy, instead of going
directly to an individual, be held on trust. In this case the trust
will be treated as having commenced with effect from the date of
death of the deceased person.
A will trust may commence at a later date either during or at
the end of the administration period. Once the administration of an
estate is complete and the personal representatives’
administrative functions are over, what is left of the
deceased’s property after all debts, taxes and legacies have
been paid may not necessarily pass directly to the ultimate
beneficiaries. Instead, the residue of the estate may pass into a
trust or settlement. In these circumstances, it is up to the
personal representatives to determine whether or not they need to
wait until the administration of the estate is complete before they
transfer some of the assets comprised in the residue of the estate
over to the trustees. The trust will commence when assets are
transferred to the trustees or when the administration has been
completed, whichever event happens first.
