Can executors ask beneficiaries questions

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Shelby219

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I received money from my late mother as a gift prior to her death, her will is in I believe the process of probate at the moment and I received this question from the executor "
We are in the process of filing the summary of statement of Affairs (Probate) Form SA.2.
and it is apparent that you had received a
Prior aggregable benefit of €10,000.00.
Can you advise the reason for this payment and where this amount came from.?'
Are they entitled to ask this?I had already declared it to the solicitors and revenue, thanks
 
Shelby219 said:
I received money from my late mother as a gift prior to her death, her will is in I believe the process of probate at the moment and I received this question from the executor "
We are in the process of filing the summary of statement of Affairs (Probate) Form SA.2.
and it is apparent that you had received a
Prior aggregable benefit of €10,000.00.
Can you advise the reason for this payment and where this amount came from.?'
Are they entitled to ask this?I had already declared it to the solicitors and revenue, thanks
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The Revenue Form SA2 must be completed and declared to be true by the Executors. There is a question on the Form SA 2 regarding prior benefits (gifts or inheritances ) received since 1992 by any beneficiaries listed in said Form. The amount of the benefit is required to be inserted and also whether it falls under Threshold A, B or C. To ascertain the threshold your relationship to the donor of the gift may be required. I think the date of the benefit is also required.
If you have already informed Revenue of the benefit and do not want to divulge the information to the Execs the Executors can just insert that information along with your PPS No. on the Form. At least that was what was done on the old handwritten Form.i am not sure if the facility is available on the online version which is now in use.
 
Curlywurly said:
The Revenue Form SA2 must be completed and declared to be true by the Executors. There is a question on the Form SA 2 regarding prior benefits (gifts or inheritances ) received since 1992 by any beneficiaries listed in said Form. The amount of the benefit is required to be inserted and also whether it falls under Threshold A, B or C. To ascertain the threshold your relationship to the donor of the gift may be required. I think the date of the benefit is also required.
If you have already informed Revenue of the benefit and do not want to divulge the information to the Execs the Executors can just insert that information along with your PPS No. on the Form. At least that was what was done on the old handwritten Form.i am not sure if the facility is available on the online version which is now in use.
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Have now received another question from the executor to know if I can remember from what bank the draft was drawn on, this was in 2019, I am now suspicious of what's going on, can they count this as part of my percentage of my inheritance?
 
T McGibney said:
They are presumably entitled to ask but you are under no compulsion to disclose it.

Your tax affairs and your history of previous gifts and inheritances are each private matters between you and Revenue and as such nobody else's business.
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Revenue's Guide to Completing Form SA 2 linked to above

The extract below relates to "beneficiaries" defined earlier in the document.

If the request for additional information (bank, draft number, date of draft) is from Revenue, its absence may delay payment of inheritance(s) from the estate. Bolding is mine for clarity only.

  1. Full name, address (including eircode) and date of birth of the beneficiary
  2. PPSN of the beneficiary
    Please note that a PPSN containing “W” as a second letter is not acceptable, and a new number must be obtained. A new PPSN can be obtained by contacting Client Identity Services directly on 071 967 2616, or by email at cis@welfare.ie.
    Where a PPSN is not available for a beneficiary of the estate, the Form SA.2 contains a facility to allow an applicant [executor/executrix] to give an undertaking that they will not distribute any property passing under the estate to that beneficiary until the PPSN is provided to the Revenue Commissioners on an amended Form SA.2 return. This facility is in order to assist our customers proceed with the application for a Grant of Representation. Please note that an undertaking can only be given for one beneficiary per application. To avail of this facility please tick the box to indicate that a PPSN is not available and follow the on-screen instructions.
 
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mathepac said:

Revenue's Guide to Completing Form SA 2 linked to above

The extract below relates to "beneficiaries" defined earlier in the document.

If the request for additional information (bank, draft number, date of draft) is from Revenue, its absence may delay payment of inheritance(s) from the estate. Bolding is mine for clarity only.

  1. Full name, address (including eircode) and date of birth of the beneficiary
  2. PPSN of the beneficiary
    Please note that a PPSN containing “W” as a second letter is not acceptable, and a new number must be obtained. A new PPSN can be obtained by contacting Client Identity Services directly on 071 967 2616, or by email at cis@welfare.ie.
    Where a PPSN is not available for a beneficiary of the estate, the Form SA.2 contains a facility to allow an applicant to give an undertaking that they will not distribute any property passing under the estate to that beneficiary until the PPSN is provided to the Revenue Commissioners on an amended Form SA.2 return. This facility is in order to assist our customers proceed with the application for a Grant of Representation. Please note that an undertaking can only be given for one beneficiary per application. To avail of this facility please tick the box to indicate that a PPSN is not available and follow the on-screen instructions.
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No mention there of particulars of previous gifts and inheritances?
 
7. Threshold Prior Amounts Enter the taxable value of prior gifts or inheritances received by the beneficiary since 5 December 1991 under the relevant applicable threshold.
this bit?
 
If the executor pays the inheritence to the beneficiary without passing the required information to the Revenue, he/she could be deemed to have acted recklessly and could end up being responasable for unpaid inheritence taxes

Just saying ...
 
jpd said:
If the executor pays the inheritence to the beneficiary without passing the required information to the Revenue, he/she could be deemed to have acted recklessly and could end up being responasable for unpaid inheritence taxes

Just saying ...
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But the particulars of prior inheritances and gifts received by third party beneficiaries is not their information to give. Disclosure of name, address, PPSN, values etc is sufficient to alert Revenue of the inheritance and enable them to police in due course the beneficiary's declaration of prior benefits, exemption status, claims for reliefs and other personal particulars on their IT38 return.
 
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Shelby219 said:
Have now received another question from the executor to know if I can remember from what bank the draft was drawn on, this was in 2019, I am now suspicious of what's going on, can they count this as part of my percentage of my inheritance?
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No they cannot count it as part of your inheritance.
 
mathepac said:
Read Page 20 etc.
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I've read it. It makes no sense. And I've been a (very minor) beneficiary of an estate in the recent past without having to disclose to its executors details of past benefits. Hence my question.

If anyone knows whether this is a legislative requirement, I'd be most grateful.
 
I would have thought that a gift prior to death and prior to probate has absolutely nothing to do with will/inheritance later on unless specified as part of future inheritance from estate.

Gift is treated as gift at time and relevant declaration made to revenue (if required)
 
Incorrect. Reading and answering questions 1 thru 7 make it clear what information is required by Revenue for each beneficiary meeting the criteria laid out in Part 3, Pages 19 and 20. The information required is crystal clear (to me), including Question 7.

"7 Threshold Prior Amounts
Enter the taxable value of prior gifts or inheritances received by the beneficiary since 5 December 1991 under the relevant applicable threshold."
 
T McGibney said:
I've read it. It makes no sense. And I've been a (very minor) beneficiary of an estate in the recent past without having to disclose to its executors details of past benefits. Hence my question.

If anyone knows whether this is a legislative requirement, I'd be most grateful
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There is a requirement to provide details of prior benefits, but very minor beneficiaries are excluded from scope of this enquiry. Working from memory, cutoff figure may be €12k ( or perhaps 15k?). So if you were inheriting less than €12k you would not have been asked re prior benefits.
 
The Executors are entitled, indeed obliged, to ask such questions if the will does not specifically address "Advancement".

Section 63 of the Succession Act 1965 deals any financial benefits previously given to a child a lifetime. The act says “Any advancement made to the child of a deceased person during his lifetime shall, subject to any contrary intention expressed or appearing from the circumstances of the case, be taken as being so made in or towards satisfaction of the share of such child in the estate of the deceased or the share which such child would have taken if living at the death of the deceased, and as between the children shall be brought into account in distributing the estate.”

Simply put, if you have given a child financial benefit in money or property before your death, you must make it clear in your will if you intended to advance that child a portion of their inheritance or if they are to have received it in addition to the gift you are leaving them in your will. The lack of clarity can cause contention and open an area of will dispute. The burden of proving the advancement falls on the person asserting there was an advancement made to a child previously.

It is staggering how many solicitors are unaware of the Advancement issue!

Jim Stafford
 
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