Estate Law Questions? Ask an Estate Lawyer.
Thanks for your question and good afternoon.The estate should have an estate account here.The account should be opened under both of your names using an EIN number.You should have an EIN number here it takes the place of the deceased person's social security number.The Title Company is likely going to need this.By depositing funds in an estate account any creditor claims or expenses that appear concerning the estate can be paid prior to distribution.This is the normal way a probate is handled so that there is record of all funds paid into the estate and then paid out.
You apply for EIN number online
http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Apply-for-an-Employer-Identification-Number-%28EIN%29-OnlineThis is the means to have protection of the probate court sholdl any disputes arise and also if any creditors or expenses, taxes, come do here.Please let me know if you have follow up.I am not sure that this is what you expected here but this is the normal process when probate is involved.Such an account would allow you to deposit estate funds.Any other checks would go here.There would likely be a small death benefit from social security and any other refunds, etc.
Here's where it kind of gets to be my concern...a month before my mom passed...mom put me as cosigner on her checking acct.(to be used for her living expenses) and had already had her property sold by owner(her) and was moving to my house in calif. for az., for her final days. Her sale fell through, after she passed I used her checking acct.(with me as a co owner of acct) to pay for all repairs on the property got it fixed up, rented it for 6 months then my sister got an attorney and wanted me to sell , I said no problem..lets sell. Whats next? We did open an account in az., my sister closed it..not sure what she is up to and how do I protect my self. Can I take all of the repairs that were done (with co-signer acct with mom) out of the final property sale check.?
Well if you want the expenses paid for then yes you would take them out of the estate proceeds.But you are going to need to reach agreement here on resolving these issues.It really bothers me that there has been no estate account here with an EIN number.I am wondering if the title company would require this.The normal procedure would be such account with the funds going there.If it is going to be an estate check you are going to need an estate account with an EIN number to deposit ir.That is why the title company is wanting to make it out to the estate so everybody is protected.There are going to be some issues here that either you work out ahead of time or you are going to need your own lawyer.Certainly if her lawyer here is the estate lawyer you need to ask some questions.Is there an estate account , an EIN number, etc.I mean as co personal representative you should have equal involvement.There are several things here that do not appear normal as I have set out above.Contact the lawyer, ask questions, and if you don't like the answers you may need your own lawyer.I hope you can resolve this but it sounds like she sees this as a 50-50 split without expenses taken off the top.
Here is ABA approved lawyer referral in case you cannot resolve this..
Maricopa County Lawyer Referral Service Phoenix, AZ Phone:(NNN) NNN-NNNN Toll free:(NNN) NNN-NNNNCounties Served: Maricopa
Pima County Bar Association LRS Tucson, AZ Phone:(NNN) NNN-NNNNCounties Served: Pima
okay. lastly, i am wondering IF I did use the disbursement to her lawyer (which after talking with you I'm fairly certain I won't) but just to humor me...
Are there differences with respect to the taxation on the monies from the sale of the home if the profits went into a "EIN Estate" verse a standard, you get a check I get a check thing?
O.K final question; the checking account of my mom's (I was co-signer on that ) I used to pay all the expenses including sisters, moms moving, and my travel & split the remaining balance with my sister (I am really not sure why I did it, but probably caught up in the situation of mom), can I actually use what was my mom's money, with me on the account, to deduct from the 50/50 split from her property,
If this a joint account you would have joint access to the funds .I would discuss it with the lawyer and sister and try to reach agreement on that issue.You have leverage since you are on the account and recourse if necessary to get reimbursed.It is reasonable that you get reimbursed here one way or the other.
Ok , Yes it was a joint account...I will bring that up with her attorney. Again thank you and if your have any key info. I should use/apply or say to her atty. on Mon. when I talk to him plz let me know. Dianne