Inheritance Law

With regard to legal succession, South Africa's legal provisions differ only slightly from those in Germany and most European states.
On the other hand, there are considerable differences in testamentary inheritance law.

Where no valid will can be found, the provisions regarding intestate succession stipulate that the wife and children each receive an equal share of the estate, but with the provision that the wife is always awarded the first R 250 000.

In the event that the deceased leaves children but no wife, they inherit everything in equal shares. A deceased who is single and childless is inherited by his parents and, if they are no longer alive, by his siblings or other relatives. If no blood relatives can be found, the entire estate goes to the state.

The regulations regarding the validity of wills are very strict in South African law. As in Germany, the will may be handwritten, but is only recognized here if it is co-signed by two authorized witnesses, neither of whom derives any benefit from the will. If one of the two witnesses has a share in the inheritance, the will is invalid and the estate is distributed according to the statutory order of succession. The testator and the witnesses must sign each page of the will. Due to numerous unavoidable provisions, such as the fact that the testator's signature may not appear more than nine centimeters below the last line of the text, it is highly advisable to draw up the will with the help of a lawyer or a bank.
An executor is also appointed in South Africa for relatively small estates. In contrast to German law, the executor is temporarily the legal owner of the entire estate until such time as he has settled all debts owed to the estate and collected all outstanding debts. Only when he has then submitted a so-called Liquidation and Distribution Account to the Master of the High Court does the Master grant him permission to distribute the estate to the heirs in accordance with the provisions of the will.               The duties of the executor are considerably specialized. A layman appointed as executor in a will is therefore almost always obliged to consult a lawyer or a bank. Only if he has such assistance can he expect to be confirmed in his office by the High Court. South African law does not recognize certificates of inheritance.

The Estates Act (Estates Act. No. 66 of 1965) entitles the executor to retain a fee of 3.5% of the total value of the estate. In practice, however, the executor usually acts as the representative of the heirs to the lawyer or bank called in, so that they are entitled to the statutory fee.
South African law grants the testator unlimited freedom with regard to beneficiaries and other dispositions. South African law does not recognize the so-called compulsory portion. The only restrictions to which testamentary dispositions are subject relate to the obligation to support a spouse or minor children.

The surviving spouse pays no inheritance tax. All other heirs pay twenty percent of the amount by which the total estate exceeds R 3 500 000.