Taxes on an Estate Account account

[sap3]

My mom passed away in 2020, and about 3 years later, I was granted administrator her estate and was able to access money she had in bank accounts in New York. I opened an estate account and got the money transferred to that account and after paying off outstanding that she had I transferred the balance of that money into my account as her only child what kind of taxes do I have to pay on the money I transferred to my account. 

[marctu]

So there is an estate that was opened in 2023, and will close at some point based upon your fact pattern below.  To the extent that the estate had income exceeding $600 in a given year (2023, 2024 and maybe 2025?) it may have filed an estate tax return with the IRS, which is a 1041, but from your fact pattern, I question, whether there was much income at all. 

Generally distributions from an estate to a beneficiary are tax free.  Since this is the residual of the estate after paying off the debts, and there do not appear to be any appreciating assets, there should be no tax implication when the estate is closed and you received the residual.   

I think I limited that question to the tax implications.  Thank you for your question @sap3 

All the best,

Marc T.

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