How much are you truly leaving behind?

Currently, there is no estate duty in Malaysia. However, tax liabilities are still a major concern because the Income Tax Act’s Section 74(5) requires the will executor to first ensure that there is no outstanding taxes before distributing the assets left behind by the deceased. Under the same law’s Section 106, the Inland Revenue Board has the right to sue the will executor to collect the taxes owed, if the latter fails to clear off the outstanding tax when the deceased has left behind assets.

PART and parcel of good and holistic financial plan means accounting for the possibility of your own and your spouse’s demise.

However, most people don’t like talking about this part of their wealth planning. Firstly, it is difficult to predict what may or may not happen in the future, and on top of that the topic isn’t exactly all roses and sunshine.