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As an heir and executor of your fathers estate you must pay taxes on fees paid to you What is the tax rate?
Wiki User
∙ 14y ago
Heirs do not pay tax. The decadent's estate pays any applicable tax. Fees paid to executors may be taxable. Check with state and Federal tax codes.
Wiki User
∙ 14y ago
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Do executor fees reduce estate tax?
They are a cost to the estate and typically are a deduction from taxes or the total amount. Yes, they will reduce the estate tax. Consulting a CPA or tax attorney would be a good idea!
Does an executor get paid for their time?
Yes. Generally, the fees paid to the executor for handling the estate are set forth in the probate code in each jurisdiction.Yes. Generally, the fees paid to the executor for handling the estate are set forth in the probate code in each jurisdiction.Yes. Generally, the fees paid to the executor for handling the estate are set forth in the probate code in each jurisdiction.Yes. Generally, the fees paid to the executor for handling the estate are set forth in the probate code in each jurisdiction.
Is the executor responsible for the lawyers fees?
The estate is responsible for attorney's fees. The executor is responsible to pay the debts of the estate before any property can be distributed. If the executor mishandles the funds they will be personally liable.
Does the executor of an estate pay attorney fees out of their compensation?
They do not pay the estate attorney's fees, the estate does. If they hire their own attorney, yes, they have to pay them.
Are executor fees taxable income if the deceased was a family member and the executor was also a beneficary?
There is a distinction between money the executor receives as compensation for administering the estate and money the executor receives as an inheritance. The fees are taxable income, the inheritance is not.
Are executor fees taxable?
Executor fees are considered income. As such they are subject to income tax at a federal and state level. Depending on the situation, it may be beneficial to waive the fees if the executor is inheriting a part of the estate. Consult a tax attorney or CPA.
What is the order of pay out when paying out an estate in the state of Ohio?
Typically taxes are considered the first thing to be resolved. Then the fees to the executor. The debtors need to be paid out evenly with anything left.
Does the estate pay tax on life insurance?
In most cases no! But in the estate it will be subject to probate charges and other fees such as executor.
Can an executor of an estate get reimbursed for vacation days used on estate business?
The executor is entitled to compensation for work done on the settlement of the estate. The use of vacation days is not a factor. Some states specify what is reasonable compensation and list the fees allowed.
If the attorney of an estate is also the personal representative of that estate can she sell the real estate and collect both the real estate commission and her attorney fees?
The real estate agent is the person who collects a commission on the sale of the real estate not the estate representative (executor/administrator). Generally a person who fills both roles, attorney for the estate and executor, can charge for both services.
Can the executrix of your parents estate collect her administrative fees plus a fee for an IRA that had named beneficiaries if the probating of the estate has not been concluded?
Certainly. Cost associated with the estate, including fees for maintaining IRAs and the executor's fees are charged against the estate and recorded. There is no requirement to wait until everything is finished to collect the fee.
Should sibling who is executor and is inheriting estate residual be able to get executor fees from other sibling who is inheriting most of estate in real estate?
Yes. There is a lot of work and responsibility involved in being the executor of an estate. The one sibling/beneficiary who is appointed should not be reqired to work for the other beneficiary for free. In some cases the executor may not charge the statutory fee, however, they should not be expected to work for free. The executor fee should be paid from the estate. If one of two sibling is inheriting real estate then they should make a cash contribution equal to one-half of the executor's fee.
