Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company1 Estate Duties (Chapters 12 & 13) Probate of will Advertise Grant of Letters Provide notice to beneficiaries of estate Open estate checking and savings accounts Write to banks for date of death value Value securities Appraisal of real property and personal property

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company2 Estate Duties (cont’d) Obtain 3 years of U.S. individual income tax returns and 3 years of cancelled checks Obtain 5 years financials on business interest plus all relevant agreements Obtain copies of all U.S. gift tax returns filed by decedent Obtain evidence of all debts of decedent and costs of administering estate

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company3 Estate Duties (cont’d) File personal property tax returns-due February 15 of each year estate in administration Determine if estate subject to ancillary administration in another state(s) Determine if administration expenses and losses should be claimed as an income or estate tax deduction File inventory – check local state law for requirements and due date

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company4 Estate Duties (cont’d) Apply for tax waivers File account or prepare informal family agreement Prepare audit notices and statement of proposed distribution / obtain waiver of accounting File schedule of distribution if applicable

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company5 Income Tax Duties (Chapter 19) File Form 56 – Notice of fiduciary relationship Determine if any of decedent’s medical expenses unpaid at death Determine if estate has received after death income taxable under IRC Section 691 Consider requesting prompt assessment of decedent’s U.S. income taxes

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company6 Income Tax Duties (cont’d) File final U.S. and state individual income tax returns (IRS Form 1040) – due April 15 of the year after the year in which death occurs File gift tax returns – due by time estate tax return due (Chapter 17) Apply for U.S. id number of estate will file U.S. income tax returns File U.S. fiduciary income tax return (Form 1041) – choice of fiscal year

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company7 Estate Tax Duties (Chapter 15) Prepayment of state inheritance tax – check state law to determine if permissible and advantages and, if so, applicable deadlines Obtain alternative valuation date values for federal estate tax return (Chapter 58)

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company8 Estate Tax Duties (cont’d) Consider election of extension of time to pay U.S. estate or generation-skipping transfer tax (IRC Sections 6161 or 6166) – must be filed on or before due date of U.S. estate returns including extensions (Chapter 16) Consider election to defer payment of inheritance tax on remainder interests – where permitted, determine deadline for election

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company9 Estate Tax Duties (cont’d) Consider election for special valuation of farm or business real estate under IRC Section 2032A – must be made with timely filed U.S. estate tax return (Chapter 58) Elect (or do not elect) to qualify certain terminable interest property for marital deduction (Chapter 24) Ascertain if credit for tax on prior transfers is allowable

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company10 Estate Tax Duties (cont’d) File state inheritance or estate tax return and federal estate tax return – federal due within 9 months of death – extensions may be requested – check local state law for due date and possible extensions Consider requesting prompt assessment of U.S. estate tax return

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company11 Other Duties Inventory of safe deposit box Claim for life insurance benefits –obtain Form 712 from insurance company –Consider mode of payment Claim for pension and profit-sharing benefits –Consider mode of payment –Obtain copies of plan, IRS approval, and beneficiary designation

Executor’s Primary Duties Checklists Chapter 14 Tools & Techniques of Estate Planning Copyright 2011, The National Underwriter Company12 Other Duties (cont’d) Apply for lump sum Social Security benefits and V.A. benefits Consider redemption under IRC Section 303 (Chapter 41)