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Direct Deposit of Refund for MFJ Return - both spouses now deceased?

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  • Direct Deposit of Refund for MFJ Return - both spouses now deceased?

    I currently have a situation where my client is the daughter of 2 parents who passed away - father passed away in December 2018, mother passed away yesterday.
    Daughter is listed in both parents' wills as Executor should either spouse predecease the other. So there's no issue with Form 1310.
    Daughter asked me to prepare parents' 2018 tax return, and is the POA for the mother on the parents' joint bank account.
    Can that bank account be used for direct deposit of 2018 tax refunds, or must a physical check be sent?
    I recognize the return can't be e-filed.
    The only other major asset is a personal residence which I've already advised the daughter requires an appraisal which is a whole other

  • Uncle Sam
    Okay folks - I got my answer - thanks.

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    I would recommend a paper check. But if the bank account had a TOD designated and it is the executor then she may be able to access that if DD.

    For my clients when I do a decedent's return it is 99% paper check. Often times if an attorney is involved in the estate settlement they will provide the estate account details.

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  • FEDUKE404
    If the joint bank account was registered only in the name of the parent(s) then any prior POA relationship is now null and void.
    In all likelihood that account was / should have been closed / blocked by the bank upon notification of death.
    As for whether ANY direct deposit could be made in this situation, I do not know that answer. The 2018 tax returns will now need to be filed (signed) by the executrix, likely with some legal documentation attached.
    A paper check is more than likely.
    Others may have more information for you.


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  • Lion
    POAs die when the people die. The estate will want its own bank account, especially with a house to sell, expenses to sell, etc., as well as to receive refunds and to disburse proceeds. I haven't had any estate issues for awhile; and state law will determine some things, so do check with your state. You might find a handy page for estate information on your state's website.

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