If your spouse is named successor holder, they take over the account intact. If they are only named beneficiary, the value passes but post-death growth becomes taxable.
The Canadian position
The successor holder designation is available only to a spouse or common-law partner and is the more advantageous option.
The Islamic position
Either way the account passes outside the estate, so it is not divided by the fixed shares unless the estate is named.
The four Sunni schools are not recorded as differing materially on this point in the sources reviewed. Where your own case turns on it, put it to a scholar of your school.
General information, not legal or religious advice. Inheritance depends entirely on the exact family circumstances. Confirm the Canadian position with a lawyer in your province and any religious ruling with a qualified scholar.
Citations & sources
Every factual claim on this page traces to one of the references below. Legislation and dollar thresholds change — verify against the primary source before relying on any figure.
- Research Papers — Cambridge Muslim College
- Research — Cambridge Muslim College
- Academics — Islamic law and theology curriculum — Zaytuna College
- Encyclopaedia of Islam — Brill
- Death of a TFSA holder — Canada Revenue Agency
- What to do when someone has died — Canada Revenue Agency
- Cra waive tfsa over contribution penalty honest mistake — Treadstone Law
- What happens to rrsp in separation ontario — Treadstone Law
- Rrsp rrif taxes at death ontario estate — Treadstone Law
- Atlantic immigration program employer loses designation — Treadstone Law
- Preferred beneficiary election trust canada — Treadstone Law
- Distributing estate beneficiaries ontario — Treadstone Law
- Wills & estates practice — Treadstone Law