Sorry, this entry is only available in 中文.

A Will is more than just a legal document—it’s your voice, your legacy, and your opportunity to decide what happens to your estate after you’re gone. In Australia, the law upholds the principle of testamentary freedom: the right of every adult of sound mind to distribute their assets according to their own wishes. This means you are entitled to leave your estate to whomever you choose, whether that be family, friends, or causes close to your heart.

The Freedom to Choose
Many people assume that family members must automatically inherit. This is a common misconception. In reality, you as the Willmaker have the power to:
• Leave unequal shares to your children.
• Exclude certain relatives altogether.
• Prioritise non-family members such as friends, carers, or neighbours.
Your estate represents the sum of your life’s work, and the law respects your right to decide its ultimate destination.

Reasons for Unequal or Alternative Distributions
There are countless personal reasons why someone may choose to depart from equal division among family. For example:
• Providing more to a spouse or partner to ensure their ongoing financial security.
• Recognising the contributions of a particular child or relative who has provided care and support.
• A desire to support charitable organisations or community causes.
Whatever the reason, your Will is the place where those decisions can be clearly and lawfully expressed.

Recording Your Intention
If you decide to minimise the share of a child or exclude them from inheritance entirely, it is strongly recommended that you clearly state your reasoning. This can be done within the Will itself or in a separate written statement kept with the Will. While you are not legally obliged to explain your decision, providing reasons can reduce uncertainty, help prevent misunderstandings among surviving family members, and ensure your intentions are clearly understood.

Putting Your Wishes in Writing
To ensure your choices are honoured, clarity is crucial. A valid Will must be carefully drafted, signed, and witnessed in accordance with legal requirements. Ambiguity or informality can create confusion and undermine your intentions.

Your Will is a reflection of your life, your priorities, and your values. Australian law gives you the freedom to decide who should benefit from your estate, and in what proportions. Whether you choose to leave everything to close family, share it unequally, or direct it entirely elsewhere, the choice is yours—and yours alone.

Death might be inevitable, but dying without a valid Will—known as dying intestate—can create chaos for your loved ones and lead to outcomes you never intended. In Australia, the law around Wills is complex, state-specific, and full of unexpected twists. Yet, according to recent surveys, more than half of Australians still don’t have a Will. Why? Procrastination, myths, and a general discomfort with planning for death.
This article unpacks the fundamentals of Wills in Australia, explores common pitfalls that show just how important a Will can be.

What Is a Will?

A Will is a legal document that sets out your wishes for how your property (your “estate”) should be distributed when you die. It can also appoint guardians for minor children and specify your funeral wishes.
For a Will to be valid in Australia, it must generally:
• Be in writing (typed or handwritten),
• Be signed by the testator (the person making the Will),
• Be witnessed by two adults who are not beneficiaries.
Different states and territories may add their own wrinkles, but the general principles are consistent nationwide.

Why You Need a Will (Even if You’re Not Rich)

Many Australians assume Wills are only for the wealthy or elderly. Not true. If you own a car, have superannuation, or have children, you need a Will. Without one, your estate will be distributed according to a rigid statutory formula, which might not reflect your actual wishes.
For example, in New South Wales, if you die without a Will and leave behind a spouse and children from a previous relationship, your estate could be split in ways that lead to bitter legal disputes.

Who Gets What if You Die Without a Will?

Dying without a Will—known as dying intestate—means your estate is distributed according to a strict legal formula set out in each state or territory’s succession laws. While the exact rules vary slightly across jurisdictions, the general order of priority is as follows:
1. Spouse or de facto partner: They usually receive the entire estate if there are no children, or a significant portion if there are.
2. Children: If there’s no surviving spouse, the estate is divided equally among the children. Stepchildren are not automatically included unless formally adopted.
3. Parents: If no spouse or children exist, the estate goes to the deceased’s parents.
4. Siblings, then nieces and nephews, followed by grandparents, aunts and uncles, and cousins, in that order.
5. The State: If no eligible relatives can be found, the estate may be forfeited to the State under a legal principle called “bona vacantia”.

This formula can lead to unexpected and sometimes unfair outcomes—especially in complex family situations like blended families, estranged relatives, or long-term de facto relationships that weren’t formally recognised. That’s why having a valid Will is so crucial: it ensures you decide who inherits what—not the government.

The Dangers of a DIY Will

With online templates and Will kits sold at newsagents, it’s tempting to go the DIY route. But this can be risky. Australian courts have invalidated Wills for everything from missing signatures to ambiguous language to coffee stains obscuring key provisions.

When Should You Update Your Will?

Life changes, and so should your Will. Update it after major events like:
• Marriage or divorce
• Birth of a child
• Buying property
• Death of a beneficiary or executor

In most states, marriage automatically revokes a Will—unless the Will was made “in contemplation of marriage.” Divorce may affect parts of the Will (like gifts to a former spouse) but not necessarily all of it.
Final Thoughts: Make It Easy for the Living

A Will isn’t really for you—it’s for the people you leave behind. It’s the legal version of cleaning up after yourself. A clear, valid, and up-to-date Will can prevent family arguments, court cases, and confusion during what is already a difficult time.

Next article we will look more in depth into what can be included within the Will.

Sorry, this entry is only available in 中文.

The New South Wales Government has announced a new budget proposal proposing to allow First Home Buyers to dodge the stamp duty payment by electing to pay an annual property tax instead. This budget proposal eases a huge financial burden upon the First Home Buyers as it lowers the upfront costs of buying a property in New South Wales. This is great news for many first home buyers as this lowers the barriers to purchase a property in NSW. Making many first home buyer’s dream to purchase a place of their own more achievable.

Eligible first home buyers will have two options to pay for the tax:

1. Stamp Duty
First home buyers will continue to enjoy stamp duty exemption or concession for properties under $800,000.00

2. Property Tax
First home buyers who elects to pay for the property tax instead of the upfront stamp duty will pay an annual property tax of $400 plus 0.3% of the land value of the property.

Eligibility to opt-in for annual property tax payments
1. Over the age of 18 years;
2. Australian Citizen or PR;
3. Never owned a property in Australia before (both purchaser and their spouse/partner);
4. Must occupy the property as their principal place of residence for a continuous period of 6 months within 12 months from the settlement date.
5. Purchase price must not exceed $1.5 million;

Commencement of the New Property Tax
The NSW government plans to enact the legislation later this year and roll out the annual property tax scheme from 16 January 2023.

Should you have any enquiries in relation to this annual property tax, please feel free to contact betsy.yeong@sunlaws.com

The NSW Government’s proposed 2022-2023 Budget not only included the stamp duty reform mentioned in our last article. It also included the increase of land tax surcharge for foreign landowners. The surcharge will be increased from 2% to 4% of the taxable value of the residential land starting in the 2023 land tax year.

Who needs to pay Foreign Owner Surcharge Land Tax?

As suggested by the name, only foreign persons who own residential land in NSW is required to pay for this Surcharge Land Tax. You are considered a foreign person, unless:

• You are an Australian citizen; or
• You’ve lived in Australia for 200 days or more in the 12 months prior to the taxing date of 31 December, and you’re:
  • A permanent resident of Australia, or
  • A New Zealand citizen, who holds a subclass 444 visa.

This reform of Land Tax makes foreign landowners responsible for the general land tax as well as the surcharge land tax, totaling approximately 6% of the total value of the taxable land on a yearly basis.

Why the sudden hike?

The property market in NSW experienced upswing for the past few years leading to many foreign buyers purchased properties within NSW creating a shortage of properties in NSW. This increase of surcharge land tax proposed by the NSW Government is no doubt a move to create larger financial burden upon foreign landowners, which may lead potential foreign buyers to look for properties in other states and slow the property market in NSWs.

Should you have any enquiries in relation to the increase of surcharge land tax, please feel free to contact our office on 02-92674988.

The New South Wales Government has announced a new budget proposal proposing to allow First Home Buyers to dodge the stamp duty payment by electing to pay an annual property tax instead. This budget proposal eases a huge financial burden upon the First Home Buyers as it lowers the upfront costs of buying a property in New South Wales.  This is great news for many first home buyers as this lowers the barriers to purchase a property in NSW. Making many first home buyer’s dream to purchase a place of their own more achievable.

Eligible first home buyers will have two options to pay for the tax:

1. Stamp Duty

First home buyers will continue to enjoy stamp duty exemption or concession for properties under $800,000.00

2. Property Tax

First home buyers who elects to pay for the property tax instead of the upfront stamp duty will pay an annual property tax of $400 plus 0.3% of the land value of the property.

Eligibility to opt-in for annual property tax payments

1. Over the age of 18 years;
2. Australian Citizen or PR;
3. Never owned a property in Australia before (both purchaser and their spouse/partner);
4. Must occupy the property as their principal place of residence for a continuous period of 6 months within 12 months from the settlement date.
5. Purchase price must not exceed $1.5 million;

Commencement of the New Property Tax

The NSW government plans to enact the legislation later this year and roll out the annual property tax scheme from 16 January 2023.

Should you have any enquiries in relation to this annual property tax, please feel free to contact betsy.yeong@sunlaws.com

Sorry, this entry is only available in 中文.

Sorry, this entry is only available in 中文.