With more Australians owning international property and investments, probate matters have become increasingly complex. A holiday home in Bali, a bank account in the UK, or shares in the US can all impact the estate distribution process after someone passes away.
According to a 2023 report by the Australian Bureau of Statistics, over 25% of Australians aged 30–55 now hold or are set to inherit assets located outside of Australia. But when it comes to estate administration, especially within New South Wales (NSW), handling foreign assets requires careful legal navigation.
So what exactly should executors do when international assets are involved? In this guide, Legal Finda walks you through how to handle foreign assets in the NSW probate process—with real-world examples, step-by-step breakdowns, and expert insights.
Why the Foreign Assets NSW Probate Process Is Different
In NSW, probate is granted by the Supreme Court and gives executors legal authority to administer the deceased’s estate. But that authority has limits—especially when dealing with foreign assets.
For example:
- The court’s grant does not automatically apply overseas
- You may need to reseal probate in other jurisdictions
- Some countries won’t recognise Australian wills at all
This means that anyone managing an estate involving international property must understand the foreign assets NSW probate process to avoid delays, rejection, or legal penalties.
How to Declare Foreign Assets in Probate NSW
As an executor or administrator, you must declare all known assets of the deceased—including those outside Australia. This process includes:
- Asset Identification: Gather all documents related to foreign properties, investments, or financial accounts. This may include deeds, share certificates, or banking statements.
- Valuation in AUD: Obtain accurate, fair-market valuations and convert them into Australian dollars using current exchange rates.
- Inventory of Property: Include foreign assets in the official probate application. Failure to do so can lead to personal liability or rejection by the court.
Understanding how to declare foreign assets in probate NSW properly ensures transparency, legality, and trust throughout the probate process.
NSW Probate and Overseas Property: Common Challenges
Handling NSW probate and overseas property introduces several unique legal and administrative challenges:
- Different Legal Systems: Some countries may require documents in their own language or notarised under their local laws.
- Conflicting Inheritance Rules: Nations like France or Italy impose forced heirship rules, which may override your will.
- Extended Timeframes: International probate often takes longer due to translation, documentation, or cross-border authentication.
- Double Taxation Risks: Executors must consider whether estate or capital gains tax will be charged in both countries.
The more complex the assets, the more essential it becomes to have a clear plan for handling international assets in Australian probate.
Probate Rules for Foreign Estate NSW
Each country has its own laws—but here are some general probate rules for foreign estate NSW executors should know:
- Commonwealth Countries: Places like the UK, New Zealand, and Singapore allow for resealing an NSW probate grant.
- Non-Commonwealth Countries: Usually require an entirely new probate application in their local court.
- Foreign Banks or Institutions: May not release funds until their own legal conditions are met—even if you hold an Australian grant.
- Foreign Real Estate: Must be handled under local jurisdiction regardless of where the will was written.
For example, if the deceased owned land in Indonesia, probate must be granted—or at least approved—by Indonesian authorities. The NSW grant won't be enough.
What Is Probate Resealing and When Is It Required?
Probate resealing is the process of validating a probate grant from one jurisdiction in another.
You may need to reseal NSW probate in countries like:
- United Kingdom
- Canada
- Malaysia
- Hong Kong
Resealing is a simpler and faster alternative to filing for probate from scratch overseas. It still requires:
- Translation of legal documents
- Consular certification or notarisation
- Time (typically 4–12 weeks depending on the country)
The foreign assets NSW probate process may also involve the opposite: resealing a foreign probate grant in NSW if the deceased was based overseas but owned assets here.
Step-by-Step: Handling Foreign Assets in the NSW Probate Process
Here’s a breakdown of how to approach an estate involving foreign property or investments:
Step 1: Apply for Probate in NSW
List all foreign and local assets. Ensure values are in AUD and documents are organised.
Step 2: Identify Which Assets Require Local Probate
Research whether the foreign country requires:
- A resealed grant
- Local court approval
- Additional executor appointments
Step 3: Obtain Translations and Legal Advice
Translate key documents and consult with lawyers in the foreign country. They’ll clarify rules around distribution, taxes, and court requirements.
Step 4: Coordinate Asset Release
Work with local banks, real estate agents, or government offices to access or transfer the foreign assets.
Step 5: Report and Finalise
Once assets are released, settle any debts and taxes, then distribute remaining funds to beneficiaries per the will.
Tax Considerations When Handling Foreign Assets
Tax is often overlooked in estate planning—but it can dramatically impact the value of an estate.
Here’s what to watch out for:
- Inheritance Tax Abroad: Some countries (like the UK or Japan) have inheritance taxes that apply even to foreign residents.
- Capital Gains Tax: May apply upon the sale or transfer of property.
- Double Taxation: Occurs if both Australia and the foreign country tax the same asset. Some relief may be available under a double taxation agreement.
Working with professionals experienced in foreign asset inheritance planning Australia is key to managing cross-border tax liabilities.
Legal Tools to Simplify Cross-Border Probate
Simplifying the foreign assets NSW probate process may be possible using:
- International Wills: Valid under the UNIDROIT Convention (Australia is a signatory), but not accepted everywhere.
- Separate Wills: Having one will for Australia and another for the foreign country can reduce risk—if coordinated correctly.
- Enduring Power of Attorney: Can help if you expect to manage assets abroad during someone’s life.
- Legal Networks: Work with firms that have partnerships across countries for seamless handling of documents and local court filings.
When to Seek Specialist Legal Support
Consider hiring a professional if:
- The estate includes real property overseas
- You’re unsure whether foreign probate is required
- Local institutions are refusing to release funds
- There’s potential for disputes among heirs
- You want to avoid personal liability
At Legal Finda, we connect you with experts in handling international assets in Australian probate so you don’t have to figure it out alone.
Real Case Example: Delays from U.S. and Spain
Angela, a Sydney-based woman, was the executor of her father’s estate. He owned an investment portfolio in the U.S. and a flat in Spain. While she received probate approval in NSW within 6 weeks, it took another 14 months to access the assets overseas.
Why?
She needed local probate applications, notary-certified translations, and even faced inheritance taxes in Spain.
Had Angela planned earlier or worked with cross-border legal experts, she could have saved time, money, and stress.
Conclusion
Managing an estate that includes overseas holdings doesn’t have to be overwhelming—but it does require planning, legal knowledge, and the right support.
To recap:
- Declare all international property and accounts in your NSW probate application
- Understand local laws, taxes, and probate recognition
- Consider resealing or separate local probate grants
- Engage legal professionals early to avoid unnecessary delays
At Legal Finda, we connect Australians with trusted probate lawyers who understand the full scope of the foreign assets NSW probate process—so you can protect your family, your time, and your legacy.
Let us help you do probate right, wherever your assets are.
