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Deemed Disposition

The tax rule treating a person as having sold everything at fair market value immediately before death.

Draft — pending review. This page has been prepared but has not yet been reviewed by a Canadian estates lawyer or a qualified scholar. Treat it as a starting point for questions, not as advice you should act on.

The tax rule treating a person as having sold everything at fair market value immediately before death.

In Islamic law

A debt of the estate, payable ahead of bequests and shares. It reduces the divisible estate, so faraid fractions apply to the net figure.

In Canadian law

Capital gains are triggered on death, with a rollover available to a spouse or spousal trust. For a family holding a rental property or investments, this can be the largest single liability the estate faces — and it must be paid before beneficiaries receive anything.

Across the madhahib

No significant difference between the four Sunni schools is recorded on this point in the sources reviewed. Where a specific case turns on it, ask a qualified scholar rather than relying on a general summary.

Canadian legal detail

Treadstone Law, an Ontario firm with a wills and estates practice, covers the Canadian side of this in more depth:

Important

This entry is general information, not legal or religious advice. Inheritance turns on the exact family circumstances. Confirm Canadian law with a lawyer in your province, and any religious ruling with a qualified scholar.