Overstated K-1

[JML222]

Hello

A client received a K-1 from an estate for 2023 tax year, however the amount is roughly $25k off. The accountant and the executor are not accepting or returning calls and have refused to provide an accounting for the heirs. How should this be handled?

Thanks!

[IRonMaN]

How do you know it is $25K off?  Have you seen any documents that indicate that?

[Just-Lisa-Now-]

You realize that whats shown on the K-1, may not be the same as the distribution of money that was received, right?

[JML222]

Yes, I have seen the real estate closing statement and the estate doc stating client is a 1/3rd heir. Also statements from client and brother that this was the only asset

[JML222]

Right, distribution is a separate issue

[IRonMaN]

If the accountant and executor are ignoring the beneficiaries, maybe a call from the beneficiaries' attorney will get them to be a little more talkative.

[JML222]

Yes, they talked with their attorney who suggested a law suit is the only sure way to get the accountant and executor to talk. The amount they inherited could be easily eaten away by legal fees. 

[IRonMaN]

Personally, I would get another heir, a couple of tents, and camp out next to the front and back doors of the executor and wait for him or her to do a little explaining.

[sjrcpa]

Did the estate go through Probate?

Perhaps a call/]inquiry to the Clerk of the Court would be in order.

[JML222]

Everything was in a trust and bypassed probate.

[sjrcpa]

Then your statement "A client received a K-1 from an estate for 2023 tax year" is incorrect.