LAWMATTERS RMB AWYERS EXECUTORS WISE TO KEEP ACCOUNTS Estate executors may be asked to provide records of their administration and any costs incurred, so it is wise to keep detailed accounts. RMB Wills and Estates Lawyer MATTHEW MCCULLOCH explains An executor of an estate has a range of duties, that can be summarised as the obligation to protect the state and collectin its assets; pay any debts of the deceased and then distribute the estate in accordance with the terms of the deceased's Will The executoris obliged to do many things to discharge that duty, including keeping records of the estate's administration in case they are required to be filed with the Court. This process is known as "passing accounts", in which the executor's records are formally approved by a registrar of the Court to ensure that the state's costs have been properly incurred. An executor is only required to pass accounts in certain circumstances, set out by the Probate and Administration Act 1898 where the executor is a creditor of the estate; if an executor is the guardian of a minor beneficiary: where the whole or a substantial part of the estate passes solely to charities or other public benevolent institutions or where the Court makes an order that the accounts be passed The Court will not ordinarily make such an order unless a request is made by a benefi- clary for the executor to file accounts, or if the executor is asking the Court to make an award of commission in their favour for their "pains and sufferings" in acting as executor An executor may also voluntarily file their accounts in circumstances such as where the executor feels a dispute is likely to arise and their conduct as executor may be brought under scrutiny. In that case, having their accounts approved by the Court could provide certainty that they had acted properly. There is a prescribed form that needs to be followed in "passing accounts, and it is best to obtain legal advice with respect to properly completing that form. In these situations, accounts should be filled within 12 months of Probate being granted to the executor, or in such timeframe as extended by the Court. If the administration of an estate is likely to take longer than a year, and accounts are to be filed interim accounts can be filed each year. Regardless, it is important for all executors to keep records of their dealings with an estabe, making it much easier to comply with an order to pass accounts. Always where you are Business Low Dispute Resolution Conveyancing & Property Law Wills and Estates Compensation Low Criminal Law Relationships Low CILANT ORGHOGE & Family & BOWRAL 387 Bong Bong St MOSS VALE 300 Argyle St 4862 1411 www.rmblawyers.com.au LAWMATTERS RMB AWYERS EXECUTORS WISE TO KEEP ACCOUNTS Estate executors may be asked to provide records of their administration and any costs incurred , so it is wise to keep detailed accounts . RMB Wills and Estates Lawyer MATTHEW MCCULLOCH explains An executor of an estate has a range of duties , that can be summarised as the obligation to protect the state and collectin its assets ; pay any debts of the deceased and then distribute the estate in accordance with the terms of the deceased's Will The executoris obliged to do many things to discharge that duty , including keeping records of the estate's administration in case they are required to be filed with the Court . This process is known as " passing accounts " , in which the executor's records are formally approved by a registrar of the Court to ensure that the state's costs have been properly incurred . An executor is only required to pass accounts in certain circumstances , set out by the Probate and Administration Act 1898 where the executor is a creditor of the estate ; if an executor is the guardian of a minor beneficiary : where the whole or a substantial part of the estate passes solely to charities or other public benevolent institutions or where the Court makes an order that the accounts be passed The Court will not ordinarily make such an order unless a request is made by a benefi clary for the executor to file accounts , or if the executor is asking the Court to make an award of commission in their favour for their " pains and sufferings " in acting as executor An executor may also voluntarily file their accounts in circumstances such as where the executor feels a dispute is likely to arise and their conduct as executor may be brought under scrutiny . In that case , having their accounts approved by the Court could provide certainty that they had acted properly . There is a prescribed form that needs to be followed in " passing accounts , and it is best to obtain legal advice with respect to properly completing that form . In these situations , accounts should be filled within 12 months of Probate being granted to the executor , or in such timeframe as extended by the Court . If the administration of an estate is likely to take longer than a year , and accounts are to be filed interim accounts can be filed each year . Regardless , it is important for all executors to keep records of their dealings with an estabe , making it much easier to comply with an order to pass accounts . Always where you are Business Low Dispute Resolution Conveyancing & Property Law Wills and Estates Compensation Low Criminal Law Relationships Low CILANT ORGHOGE & Family & BOWRAL 387 Bong Bong St MOSS VALE 300 Argyle St 4862 1411 www.rmblawyers.com.au