Estates Tax Liability on Dealth of Spouse

My wife and I hold assets in terms of cash at bank and a single main residence. All assets are held in joint names. Should one spouse die can the assets be transferred to the surviving spouse without an estates tax liability. Alternatively is the liability calculated as 20% of the remainder of (50% of the combined assets - 3. 5M Rand tax exemption )

Yes, the assets are transferred to the surviving spouse with no estate duty payable. Once the surviving spouse dies, then estate duty will become payable on the assets and the R3,5m exemption can be used along with any unused portion of the R3,5m exemption for the previously deceased spouse.