Probate Proceeding Checklist in New York
If you're the executor of a will in New York State, chances are you'll need to go through probate to administer the estate to its heirs. In order to distribute assets, which can be as diverse as the deceased's checking account, real estate and valuable art, the executor must be granted permission by the court. However, getting permission requires that the appropriate paperwork be properly filed, and failing to understand probate documents can cause delay.
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Probate Law
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Ideally, the deceased has a will that declares how debts are to be repaid and where the remaining assets will go. After the death, the executor will send the death certificate -- issued by the funeral home -- and the deceased's will to probate court. Probate laws in New York are designed to protect creditors and heirs during the distribution of assets. The executor must secure the court's permission before paying the deceased's debts or distributing the remaining assets, however. If the deceased did not have a will, or if the will was lost or destroyed, then the deceased is known as having died intestate, and the would-be executor must petition the court to open the estate.
Petitioning the Court and Notifying Creditors
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In New York, the probate process begins when the executor petitions the court to open the estate. He also asks the court for permission to pay the debts and distribute the assets. Following the petition, a public notice is printed that alerts potential creditors to make claims on the estate; usually, the executor will already have this information. After a period of time has passed, the executor is granted permission to pay the debts and distribute the assets of the estate. The permission is granted in the form of the letters of administration, or letters testamentary. Letters testamentary are given to the spouse first, then children, grandchildren, parents, siblings and others, in that order.
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Distributing the Assets
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After the executor has received the letters testamentary, he opens an estate account at a bank to distribute the assets to creditors and heirs. In order to open the bank account, the executor will need to provide the letters, as well as the death certificate and possibly a copy of the will, depending on the bank's policy. The proceeds from investment accounts and asset sales are placed here. The executor will need lender contact information, as well as the contact information of any charities that the deceased wished to donate to, so that he can issue checks per the deceased's instructions in the will. Heir contact information is a necessity as well. In the case of large estates, the executor must keep in mind that the estate may be liable for income taxes; consult with a tax professional if you are unsure.
Final Tax Return and Petition for Discharge
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After the estate has been distributed to creditors and heirs, the executor's final duty is to file the last tax return and report to the state of New York how the estate was distributed. This final accounting is completed along with the petition for discharge, and the executor must be sure to keep a complete record of the transactions that were made, including debt payments, charitable contributions and leftover estate distributions.
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References
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