After the 2005 personal taxes were paid all monies were distrbuted except for $50,000.00. Beneficiares were told this was being held until the IRS cleared the estate for closing. We were told this could take 18 months to 2 years by the CPA for the estate. We have been told by others this should only take 4 to 6 months.
2006-10-24 01:46:03 · 4 answers · asked by tldaniels62 1 in Business & Finance ➔ Taxes ➔ United States
The IRS can audit the estate within three years of filing. The estate is not closed until the last date it can be audited (and thus changed) has passed. As they quoted you 18 months, they probably applied for a "speedy" resolution, which requires the IRS to conduct any audit within 18 months of the reciept of the return.
The executors are liable to make sure all taxes are paid, so no, they aren't about to release the final funds until their dang sure there's not going to be any change.
2006-10-24 03:41:59 · answer #1 · answered by lizzit 3 · 1⤊ 0⤋
It depends on the nature of the assets in the Estate. If they are easily valued, such as bank accounts and stocks, then the Estate should be closed within a year. If, however, the assets are subject to valuations, such as business interests and/or property, the closing will take longer.
2006-10-24 09:17:18 · answer #2 · answered by jinenglish68 5 · 0⤊ 0⤋
The remaining 50,000.00 will most likely be gobbled up by the estate attorney and CPA as they will drag this part out until they have eaten away at the remaining funds.
2006-10-24 08:56:49 · answer #3 · answered by pecker_head_bill 4 · 0⤊ 0⤋
With the IRS involved it may never be cleared up.
2006-10-26 18:56:48 · answer #4 · answered by George K 6 · 0⤊ 0⤋