What is an executor?

What is an executor?

The word executor refers to the one who executes on behalf of the deceased ones. The executor plays an important key role in the Probate proceedings from the beginning. After the bond issues are reviewed the court officially appoints a person as an executor. There is no definite person as he / she should only be appointed. It is up to the executor as to collect the details of the deceased’s assets of the estate and to pay all the debts to be paid and the expenses of the estate, and distributes the property among those beneficiaries and establishes any trusts, if directed by the Will.

It will be the Executor’s responsibility to notify the creditors, beneficiaries and the inheritors to obtain the FIN (Federal Identification Number) for the Tax purposes, and also to open a checking account in the name of the Estate.

The executor must review all records to determine all the assets of the estate and also to take care of the assets that are under probate. After that he will determine the good market value of the Estate and to pay any debts that are still outstanding, and resolving the claims by the creditors. The Executors have rights to sell some of the Estate’s assets if needed, to pay off the debt that has occurred already.

He is also highly responsible for preparing and filing death tax returns. The Executors are also responsible for filing the final individual income tax return, the estate income tax returns and any necessary gift tax returns.