Ontario residents may know that in appointing an executor to carry out the tasks set forth in a will, people automatically consider trustworthiness and reliability, but residency is another attribute that might also be considered important. The Canada Revenue Agency has stated in an interpretation bulletin that the residence of a trust depends on the residence of the trustee. The interpretation applies to decedents' estates as well.
When an Ontario resident passes away, his or her loved ones are often left with the task of paying his or her debts and distributing assets. One of the first steps in that process is applying for a Certificate of Estate Trustee with the Ministry of the Attorney General. The Certificate of Estate Trustee designates a certain person as the trustee responsible for settling the deceased person's affairs. Many people refer to the estate trustee as the executor.
Ontario residents undertaking their estate planning would do well to make sure they appoint effective and trustworthy fiduciaries. In estate planning, a fiduciary is someone appointed to handle various aspects of a person's estate. A fiduciary might be a trustee, a lawyer or anyone else entrusted with the job of managing the person's affairs. While some people associate estate planning with leaving instructions about managing their assets after their death, estate planning also involves appointing people to manage one's medical and financial decisions if the person alive but incapable of making those decisions for himself or herself.
Changes have been suggested to the rules regarding financial dealings between investors in Ontario and nationwide and the individuals whom they select to manage their financial matters. The proposals come from The Investment Industry Regulatory Organization of Canada, and they are designed to give investors more flexibility in choosing trustees, executors or advisers while protecting them from possible conflicts of interest. The deadlines for unwinding certain arrangements, including power of attorneys and executorships, has been extended to June 2015 to allow the proposed changes to the personal financial dealing rules to be considered.