Q: I am a Kenyan citizen living abroad, with properties both in Kenya and overseas. What key considerations should I keep in mind when planning for the management and succession of my estates in both countries?

A: As more Kenyans move abroad for work, study or investment opportunities, it has become common to own properties both in Kenya and overseas. While this global footprint offers security and diversification, it also raises important questions about how such estates should be managed and passed on to heirs. Without a clear plan, families may face long court processes, conflicting legal requirements or even tax burdens that erode the value of the estate.

If you are a Kenyan citizen living abroad with assets spread across different countries, here are key considerations to guide your estate management and succession planning.

1. Understand the Laws in all relevant countries

Each country has its own rules governing inheritance, wills and estate administration. Kenya applies the Law of Succession Act while foreign countries may operate under civil law, common law or Sharia-based systems.

Section 4 of the Law of Succession Act sets out how succession to property is determined when a person dies:

• Immovable property (land and buildings in Kenya): Always governed by Kenyan law, regardless of the deceased’s domicile.
• Movable property (money, shares, vehicles, personal items): Governed by the law of the country where the deceased was domiciled at the time of death.
• Presumption of domicile: A person who was ordinarily resident in Kenya immediately before death is presumed domiciled in Kenya unless proven otherwise.

Some of the key differences to watch for include:

• Forced heirship rules – Some countries require a fixed portion of the estate to be left to certain family members thus limiting testamentary freedom.
• Recognition of foreign wills – Not all countries accept wills drafted abroad without compliance with their formalities.
• Tax regimes – Inheritance, estate or capital gains taxes may apply differently.

The first step therefore  is to seek legal advice in both Kenya and the foreign country to ensure your estate plan complies with all relevant laws

2. Consider multiple wills

One of the most effective tools for cross-border estate planning is the use of separate wills for different countries. A Kenyan will to cover assets located in Kenya and a foreign will drafted under the laws of the country where your overseas property is located.

When drafting multiple wills, coordination is crucial to ensure that one does not inadvertently revoke the other. Engaging experienced cross-border estate lawyers ensures that the language is aligned thus avoiding conflicts.

3. Consider the use of estate planning structures

Rather than holding all assets in your personal name, certain legal structures can make succession easier. They include:

1. Trusts. They provide continuity in asset management and can protect beneficiaries.
2. Companies or partnerships . They are useful for holding real estate or business assets, offering flexibility in succession.
3. Joint ownership with survivorship rights – In some jurisdictions, property automatically passes to the co-owner.

The choice of the structure depends on local law, tax implications and family needs.

4. Plan for taxes and double taxation

Kenya does not currently impose inheritance tax, but foreign countries may charge estate duty, inheritance tax or capital gains tax upon death. In the absence of a double taxation treaty between Kenya and the foreign country, your estate could be taxed twice. It is advisable to consult a tax adviser with cross-border experience who  can help you structure ownership in a tax-efficient manner.

5. Keep clear records and appoint the right executors

Cross-border estates often fail not because of poor planning but due to poor administration. Always ensure that:

1. All asset title deeds, investment records and account details are documented and accessible to trusted persons.
2. Executors are familiar with the laws of all relevant countries.
3. At least one executor is resident in the country where the foreign asset is located to ease local compliance.

Conclusion

For Kenyans with foreign assets, a “one-size-fits-all” approach to estate planning is a recipe for disputes and delays. The key is integration as it ensures that all your wills, estate planning structures and strategies work together across countries. By seeking coordinated legal and tax advice, you can preserve your legacy, protect your beneficiaries and ensure your cross-border estate is passed on smoothly and efficiently.

Should you require any further information, please contact us at info@cfllegal.com.