You'll need to sign in or create an account to connect with an expert.
Well, here's the problem: If he has no money and no estate, then his heirs don't have to pay his taxes. But, if he has an estate and you pay it out to his heirs, but he had unpaid taxes, the IRS can claw that money back from the heirs.
The statute of limitations on tax returns is 3 years from the date the return was filed. So if he owed in the past and no return was filed, there is really no deadline for the IRS to come calling and try to extract money from the estate or from the heirs. So I would definitely recommend that you get his estate caught up on taxes before you distribute the proceeds.
Well, here's the problem: If he has no money and no estate, then his heirs don't have to pay his taxes. But, if he has an estate and you pay it out to his heirs, but he had unpaid taxes, the IRS can claw that money back from the heirs.
The statute of limitations on tax returns is 3 years from the date the return was filed. So if he owed in the past and no return was filed, there is really no deadline for the IRS to come calling and try to extract money from the estate or from the heirs. So I would definitely recommend that you get his estate caught up on taxes before you distribute the proceeds.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
zeishinkoku2020
Level 2
Trevohnp
New Member
Karen1949
New Member
alesj21
New Member
Tetiberryzzz
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.