All About Estates
By Alicia Mossington, May 22nd, 2025
Among the most frequently asked questions of this author is: “what if I transfer my property into joint ownership with my adult children/grandchildren/family member?”
Executors in Ontario are often required to obtain a Certificate of Appointment of Estate Trustee (colloquially and historically referred to as “probate”). Although Estate Administration Tax (“probate tax”) is applicable across many jurisdictions in Canada, it is slightly higher in Ontario. This leads many people to take steps to avoid or minimize it.
Joint ownership is a commonly used strategy. In Ontario, there are two types of joint ownership:
- Tenancy in Common – with tenancy in common arrangements each joint owner may or may not own equal shares of an asset. When one owner dies, their share is left to their estate and the distribution instructions contained in their Will (or on intestacy).
- Joint Tenants (Ownership) with Right of Survivorship – with right of survivorship each joint owner has equal ownership and control of the asset. When one owner dies, ownership and control remain with the surviving joint owners.
As a result of the decisions of the Supreme Court of Canada, in cases cited in this article, the law related to gratuitous transfers from sole ownership to joint ownership were clarified…
A comprehensive estate plan should take into account the testator’s wishes, their assets and ownership structure. Although joint ownership can be a good planning strategy, the risks of joint ownership are not often fully understood and appreciated, and in some cases lead to unintended consequences.
Alicia Mossington, Estate and Trust Consultant, Scotiatrust London
