Stimulus checks to deceased relatives

[sandaver]

My wife was appointed administrator for the estates of her deceased brother and his son, both died in 2018. She filed 1040’s and form 56 for both of them for 2018 and has since been released by the probate court . She also disbursed all monies and closed the estate accounts for her brother and her nephew. Now in the mail comes a stimulus check for each of them, payable to their names followed by “decd”. I am aware that Mnuchin said to send the checks back. In each of their cases, there are heirs who are I suppose, entitled to inherit the estate. I can see this sticky mess getting worse as the sticky fingers of lawyers and their fees to reopen the estates would likely devour all the monies. We are going to hold the checks for now, as the “well oiled machine” of our present government plods along. Any advice/ comments ?

[IRonMaN]

Send them back

[BobKamman]

From Maine TV Station WGME:

Nina Olson, executive director of the Center for Taxpayer Rights told the I-Team, “I’ve talked with other tax controversy lawyers and we don’t see the IRS using enforcement powers to retrieve the funds, the law itself says that over payments will not be clawed back.”

Checks were also sent out to deceased individuals in 2008, but the government didn't ask for them back.

"The IRS needs to issue guidance about this, and if it believes these payments were improperly paid out under the CARES Act and must be returned, it not only must explain its legal basis for that position but it must also explain why it changed its mind from its stance in 2008," Olson said. "Otherwise its position is arbitrary and capricious."