Full question:
Where can I find info on what fee, and when, I am entitled to receive as Executrix of my Aunt's estate (slightly less than 1 million) for settling the estate. The will was probated in Texas, where she lived. Have been told that it is 5% of what I have collected for the estate and 5% of what I have had to pay out. I have converted everything to cash in an estate checking account. Do I have to file a estate tax return for this year? She died in 2006. Have filed for 2006.
- Category: Taxes
- Date:
- State: North Carolina
Answer:
As the Executrix of your Aunt's estate in Texas, you are entitled to a commission of five percent (5%) on the cash you collect and five percent (5%) on the cash you pay out during the estate's administration. However, you cannot charge a commission for funds that were already in a financial institution at the time of your Aunt's death, such as cash in checking or savings accounts, or for life insurance proceeds. Additionally, your total commission cannot exceed five percent (5%) of the gross fair market value of the estate.
If you manage a business or if the calculated compensation seems unreasonably low, the court may allow you reasonable compensation for your services. The court has the authority to deny your commission if it finds that you have not managed the estate properly or if you have been removed as the executor.
Regarding estate tax returns, since your Aunt passed away in 2006, you should have already filed the estate tax return for that year. If you have done so, you do not need to file another return for that year.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.