ADMISSION EXAMINATIONITOELA TINGSEKSAMEN

ESTATESIBOEDELS
PART2/ DEEL2

21 AUGUST I AUGUSTUS 2019

ANSWERSIANTWOORDE

PLEASE NOTE THAT THE GUIDELINE ANSWERS TO PREVIOUS PAPERS MAY

NOT BE A CORRECT REFLECTION OF THE LAW AND/OR PRACTICE AT THE
MOMENT OF READING.

NOTE TO EXAMINER: THIS GUIDELINE RECORDS THE VIEWS OF THE DRAFTERS.

THERE MAY BE JUSTIFIABLE VARIATIONS IN PRACTICE WHICH
ARE BROUGHT OUT IN THE ANSWERS. WHEN THIS HAPPENS THE
EXAMINER SHOULD APPLY HIS DISCRETION IN MARKING THE
ANSWER.
QUESTION 1 (601

The First and Final Liquidation and Distribution Account in the estate of the late Sam
Dube (Identity Number 520915 5638 08 3) (1) who died on 30 June 2018 (1) and
who was married according to customary law, out of community of property without
accrual (1). Master's reference number: 1369/2018. (1)
Liquidation account

Assets:

lmmova�le property
1. The farm NAMBO 755, Brits
Registration Division.JO, North-West Province;
Measuring 360 hectares;
Held by Deed of Transfer T1306/1987. (1)

At Valuation 2 100 000.00 (1)

(To be transferred to Sarah Dube, major surviving

spouse, as sole heir i.t.o. the Will of the deceased) (1)

Movable property
2. Farm implements and Livestock
At valuation 900 000.00 (1)

3. House-hold furniture and effects

At valuation 135 000.00 (1)

(Items 2 and 3 to be awarded to Sarah Dube,

major surviving spouse, as sole heir i.t.o. the Will
of the deceased) (1)

Cash & Assets Reduced to Cash

4. 100% Shares in VIC (Pty) Ltd

Sold for 1 100 000.00 (1)

5. Absa Bank - Savings account No. 4050635667 175 000.00 (1)

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 6. A 2015 Toyota Corolla motor vehicle with
Registration number BYP 805 GP
Sold for 100 000.00 (1)

7. Sanlam Insurance Policy No.175345X9

Proceeds of Policy 950 000.00 (1)

8. JSE quoted Shares

Sold by Stockbrokers 76 000.00 (1)
Total Assets � ��6 QQQ.QQ

Liabilities:

Administration Costs
1. Advertising for Debtors and Creditors (1)
Government Gazette 37.82
Pretoria News 312.18

2. Advertising Account for insQection (1)

Government Gazette 37.82
Pretoria News 312.18

3. Master's fees (maximum) 7 000.00 (1)

4. Executor's fees at 3.5% on R5 536 000.00 193 760.00 (1)

5. 15% VAT on R193 760.00 29 064.00 (1)

6. Bank charges to date (1) 6 000.00

7. Provision for further Bank charges (1) 4 500.00

8. Postages and petties 260.00 (1)

9. JPS Brokers fees for selling JSE shares 7 600.00 (1)

10. P Smith - Valuation costs: farm & movable 6 500.00

property (1)

11. D Chivers Attorneys- Conveyancer's Fees 20 000.00

and bond cancellation costs (1)

Claims against the estate

12. Deep-Slumber - funeral expenses (1) 27 616.00

13. Sanlam Insurance Co for loan on Policy 25 000.00 (1)

No.126395X8

14. Land bank - outstanding amount on farm 208 000.00 (1)

Total Liabilities 536 000.00

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 Estate Duty Nil

Balance for distribution 5 000 000.00

5 �36 QQQ.QQ

Recapitulation Statement

Cash and assets reduced to cash 2 401 000.00 (1)

Less:
Liabilities 536 000.00 (1)
Cash Legacies NIL
Estate Duty NIL
Cash surplus 1 865 000.00 (1)
2 4Q1 QOQ.OQ 2 401 000.00

Distribution Account
Balance for distribution 5 000 000.00 (1)

Awarded to:

Sarah Dube, major surviving spouse, as sole heir

i.t.o. the Will of the deceased (1)

Award Consists of :
Immovable Property R2 100 000.00 (1)
Movable Property R1 035 000.00 (1)
Cash R1 865 000.00 (1) 5 000 000.00

5 000 000.00 5 000 000.00

Income & Expenditure Account

Interest paid on Absa Bank - Savings account 6 250.00 (1)

Rental for the farm NAMBO for the period 1 July 15 000.00 (1)
2018 to 31 December 2018

Executor's remuneration @ 6% on R 21 250.00 1 275.00 (1)

15% VAT on R1 275.00 191.25 (1)

Balance awarded to Sarah Dube as sole heir 19 783.75 (1)

21 250.00 21 250.00

Fiduciary Assets Account

None Nil (1)

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Estate Duty Addendum

ProQertv of the deceased

I

Assets as per liquidation account

5 536 000.00 (1)
Less : Sanlam Insurance Policy payable to estate 950 000.00 (1)
4 586 000.00
Less: Difference in value of private shares 100 000.00 (1)
4 486 000.00
Less: 30% on Farming property 630 000.00 (1)
3 856 000.00

ProQerty Deemed to be ProQerty

Add: Sanlam Insurance Policy payable to estate 950 000.00 (1)

Old Mutual Insurance Policy 500 000.00 (1)

Liberty Life Insurance Policy 1 100 000.00 (1)

� Premiums plus 6% p.a compounded

interest 100 000.00 (1) 2 450 000.00
thereon
6 306 000.00 (1)
Gross value of the estate

Deductions - Sect 4
536 000.00 (1)
Costs of Administration and claims
5 000 000.00 (1)
Inheritance to Sarah Dube- Sect 4(q)
500 000.00 (1) 6 036 000.00
Old Mutual policy to Jane Dube - Sect 4(q)
270 000.00 (1)
Net value of the estate
3 500 000.00 (1)
Less: Primary Rebate - Sect 4A
0.00 (1)
Dutiable Amount
0.00
Estate Duty at 20% on R0.00

EXECUTOR'S CERTIFICATE

I, the undersigned, Eric Dube , the duly appointed executor in the estate of the late
Sam Dube Estate Number 1369/2018, declare as follows:

1. That the attached account is to the best of my knowledge and belief a true
and proper account of the liquidation and distribution of the estate; (1) and

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 2. That this is a final account and to the best of my knowledge and belief all
the assets and income collected subsequent to the death of the deceased
to the date of the account have been disclosed herein. (1)

SIGNED AT Pretoria ON THIS 1 st DAY OF February 2019

ERIC DUBE (EXECUTOR)

QUESTION 2 [26]

JOINT WILL

We, the undersigned,

CEDRIC JONES
Identity Number: 530812 5638 08 3

and

MABEL JONES (born Nel)

Identity Number: 581019 0417 08 8

spouses married in community of property and presently residing in Midrand,

Gauteng Province, hereby make our Will as follows: (1)

1. REVOCATION OF PREVIOUS WILLS

We revoke all our previous Wills, codicils and testamentary writings made either
jointly or individually, and declare this to be our last Will. (1)

2. APPOINTMENT OF EXECUTOR

2.1. We appoint the survivor of us as the executor of our estate, with the power of
assumption (1). If we die simultaneously or should the survivor for any reason
be unable or refuse to accept the appointment, we appoint our daughter Julia
Barn (born Jones) as the executrix. (1)

2.2. Any executor appointed in terms of our Joint Will shall be exempt from
furnishing security to the Master of the High Court. (1)

3. MASSING OF ESTATES AND BENEFICIARIES

3.1 We direct that on the death of the first dying of us (1), our joint community
estates shall be massed and consolidated into a single estate (1), which we

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 bequeath to our aforesaid daughter Julia Barn (born Jones) (1) subject to a
usufruct for life in favour of the survivor of us (1).

TESTATRIX (1)
Paul Kumar

Signature by C.0.0 (1)

on behalf of and by the direction
of the TESTATOR (2)

3.2 If the aforesaid bequest to our daughter should fail for any reason, our
massed estate shall devolve upon her children per stirpes. (1)

4. EXCLUSION OF COMMUNITY OF PROPERTY AND ACCRUAL

No inheritance or benefit accruing to any beneficiary in terms of this Will shall form
part of any existing or future community estate of such beneficiary. We further direct
that the right of accrual as contemplated in the Matrimonial Property Act, 88 of 1984,
as amended, shall be excluded from any such inheritance or benefits. (1)

SIGNED AT MIDRAND ON 18TH MAY 2017 by the Testatrix, Paul Kumar on behalf
of and by the direction of the Testator and the attesting witnesses all being present
and signing simultaneously in the presence of one another. (2)

WITNESSES: (1)
1. TESTATRIX (1)
2.
Paul Kumar

on behalf of and by the direction

of the TESTATOR (2)

Certificate in terms of Sec 2(1)(a)(v) (1)

I, Joyce Pillay of 150 Church Street Midrand, in my capacity as Commissioner of

Oaths (1), certify that I have satisfied myself as to the identity of the testator Cedric
Jones (1), and that the accompanying joint Will is the Will of the testator (1).

J Pillay

_______ (1)
Commissioner of Oaths
Capacity:
Midrand 18th May 2017

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QUESTION 3 (8]

David inherits R1 750 000.00 half of the estate in terms of Section 1 (1) (d) (ii) of Act
No. 81 of 1987. (1)
Louisa inherits nothing as she is not Vukela's parent (1)
Agnes inherits nothing as she is not a blood relative (1)
Phindi inherits nothing as she is not a surviving spouse (1)
Ronald and Joseph's two sons Peter and Alex inherit the balance of R1 750 000.00
as follows in terms of Section 1 (1) (d)(ii) of Act No. 81 of 1987 (1)
Ronald- R875 000.00 (1)
Peter - R437 500.00 (1)
Alex - R437 500.00 (1)

QUESTION4 (61

Net dutiable estate =R19 000 000.00 (1)

Less: Primary Rebate =R 3 500 000.00 (1)
Less: Roll over of Primary Rebate from Betty's estate =R 3 500 000.00 (2)

Dutiable Amount =R12 000 000.00 (1)

Estate Duty Payable@ 20% on R12 000 000.00 =R 2 400 000.00 (1)

TOTAL: (1001

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