Intestate - do nieces and nephews inherit?

MobileSaver

Uncle died intestate a year ago (no wife, children or parents) leaving £800,000 to his two brothers. Sadly one of the brothers died recently before the uncle's estate was finalised/distributed.

Does the £400,000 from the uncle now go to the deceased brother's estate (i.e. mostly to his wife) or is it split between the deceased brother's four children? In other words do the intestate rules apply as at the date of the uncle's death or as at the date the estate is distributed?

molerat

I believe it goes to the brother's estate, inheritance being at the time of the uncle's death. Similar to grandchildren's inheritance.

A grandchild or great grandchild cannot inherit from the estate of an intestate person unless either:

• their parent or grandparent has died before the intestate person, or

Mojisola

MobileSaver wrote: »

Uncle died intestate a year ago (no wife, children or parents) leaving £800,000 to two brothers. Sadly one of the brothers died recently before the uncle's estate was finalised/distributed.

Does the £400,000 from the uncle now go to the deceased brother's estate (i.e. mostly to his wife) or is it split between the deceased brother's four children? In other words do the intestate rules apply as at the date of the uncle's death or as at the date the estate is distributed?

If uncle died before the nephew (it doesn't matter whether the estate was finalised by the time of the nephew's death), then the nephew inherited the money.

His share will go into his estate and be distributed according to his will.

Sea_Shell

Sorry, is the uncle one of 3 brothers? So his 2 brothers inherited under intestacy, but one brother has since died?

MobileSaver

Sea_Shell wrote: »

Sorry, is the uncle one of 3 brothers? So his 2 brothers inherited under intestacy, but one brother has since died?

Yes, correct, three brothers, one brother died after the uncle died but before uncle's estate was finalised and distributed.

Mojisola wrote: »

If uncle died before the nephew (it doesn't matter whether the estate was finalised by the time of the nephew's death), ... His share will go into his estate and be distributed according to his will.

Uncle died intestate before the brother who had nieces and nephews. The brother also subsequently died intestate...

Rubik

The children of the brother who died will inherit his share of the estate. https://www.citizensadvice.org.uk/family/death-and-wills/who-can-inherit-if-there-is-no-will-the-rules-of-intestacy/

Keep_pedalling

Do not forget that there will actually be a 3 way split, the taxman will be need to be paid before any distribution takes place. Unless he is a widower that will be 40% of £475k

Mojisola

MobileSaver wrote: »

Uncle died intestate a year ago (no wife, children or parents) leaving £800,000 to two brothers.

MobileSaver wrote: »

Yes, correct, three brothers, one brother died after the uncle died but before uncle's estate was finalised and distributed.

Uncle died intestate before the brother who had nieces and nephews. The brother also subsequently died intestate...

I got mixed up - I thought this uncle had left money to two nephews who were brothers.

So the two brothers are the deceased uncle's siblings?

The result is the same - brother A died first so his estate is divided between his living siblings, brothers B and C.

As B has now died, his share of A's estate will be shared out according to his will or the intestate rules, whichever applies.

If brother B had died before brother A, his share would have gone directly to B's children.

MobileSaver

Keep_pedalling wrote: »

Do not forget the taxman will be need to be paid before any distribution takes place

Ah, I should have mentioned the £800k is net after IHT has already been accounted for.

Mojisola wrote: »

So the two brothers are the deceased uncle's siblings?

The result is the same - brother A died first so his estate is divided between his living siblings, brothers B and C.

As B has now died, his share of A's estate will be shared out according to his will or the intestate rules, whichever applies.

If brother B had died before brother A, his share would have gone directly to B's children.

Thanks, that explains it quite succinctly and I've now edited my original post to clarify that, yes, the two brothers are the deceased uncle's siblings.

theoretica

The speed at which executors work should not affect who gets what in the end. So this passes according to the will of the second brother to die.

MobileSaver

theoretica wrote: »

The speed at which executors work should not affect who gets what in the end.

Good point, seems a perfectly reasonable justification for the way it works.