Can an executor distribute assets before settling all debts and taxes?

Last modified: September 1, 2023
Estimated reading time: < 1 min

In general, it is not advisable for an executor to distribute assets before settling the debts and taxes of the estate in Malaysia. Executors have a legal duty to properly administer the estate, which includes ensuring that all outstanding debts and taxes are paid before distributing assets to beneficiaries.

By settling debts and taxes first, you have a clear understanding of the estate’s net value. This allows for a more accurate and fair distribution of assets to beneficiaries based on the remaining estate assets.

Tags:
Was this article helpful?
Dislike 0
Views: 2

Continue reading

Previous: Can an executor sell property or assets of the estate?
Next: Can an executor distribute assets differently from what is stated in the will?