U.S. Citizen Executrix on a non-U.S. Estate?

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Ruth
Posts: 16
Joined: Sat Apr 01, 2006 4:12 pm

U.S. Citizen Executrix on a non-U.S. Estate?

Post by Ruth »

Both I and my husband live in Canada. I am a citizen of the U.S. My husband is a citizen of only Canada. (We're both alive.)

I have been named as Executrix for my husband's estate. Since an estate is technically a trust, would I then be compelled to file Form 3520 as a result of being the trustee of this foreign trust while the estate is being settled?

In general, is it advisable to avoid this type of arrangement?
nelsona
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Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

Yes.

Yes, you should decline being the executor.

In any event, spouse's should avoid being executors.

When you say "I have been named", you make it sould like you had no input. It's more like "we decided to put me as executor..."
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D
Ruth
Posts: 16
Joined: Sat Apr 01, 2006 4:12 pm

Post by Ruth »

Why do you say that spouses should avoid being executors? I've read several estate-planning books, and I've never seen that advice before.

I would have thought that my husband would be the best choice as my executor, since no one knows my financial situation and cross-border issues as well as he does.
nelsona
Posts: 16673
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

Is that US-based estate planning books? Every book I read on estate planning growing up in canada counselled against tit -- in fact it is preferable that the executor not be any of the beneficairies, spouse or not -- for conflict of interest and other reasons.

You have an extra reason.

Have a friend be it.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D
andied
Posts: 55
Joined: Wed Feb 09, 2005 11:21 am

Post by andied »

I spoke to an international tax advisor this summer and he cautioned against a USC being named an Executor of a foreign estate for several reasons(as has nelsona). One issue I had not considered is the possibility that the IRS may consider the foreign estate to be under the jurisdiction of the IRS. He was not aware of the IRS taking this position, but it is another reason to avoid naming a USC as executor of a foreign estate.
traveller2
Posts: 1
Joined: Wed May 16, 2012 4:10 pm
Location: California

Executor of my father's estate

Post by traveller2 »

Hi - my father passed away in 2010 and I was named the administrator/ executor of his estate. We both lived in British Columbia.

In 2011, I moved to California.

The estate has not been settled yet.

What tax obligations and forms do I have in the US and/or Canada in having this responsibility now? Is the estate considered US-based now that I have moved from BC to California?

The investment firm holding my father's account wants me to use my US address for the account and complete a W9.

Does this sound correct?

Thanks for any thoughts/advice on this matter.
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