I am learning about estates, wills, and probate courts. I am wondering about the following situation and procedures that may follow:

Beneficiary 1 (or B1), the sole beneficiary stated on a will, was awarded an entire estate after the benefactor's death. B1 has a good relationship with their two siblings. B1 and the two siblings all had a mutual understanding that the estate should be divided into thirds and distributed accordingly. It was also the benefactor's intention to do so, but not explicitly stated in the will. The assets in the estate are solely investment accounts and no real estate property.

What could the three individuals consider to split the estate up in this fashion?

Any information to learn about this subject would be appreciated!

  • Surely this is just the sole beneficiary deciding what to do with their new found inheritance after they become entitled to it? Or am I missing something?
    – user28517
    Jun 17 '21 at 4:47
  • @Moo so that is one way to look at it as the sole beneficiary has the estate. However, the intentions were really to split by thirds and distribute. This obviously wasn't expressed formally, but it is the intention to effectively transfer 2/3's of the estate to the two siblings--as if it were inherited from the estate.
    – Jason p
    Jun 17 '21 at 4:53
  • B1 probably has to file a gift tax return, if this is a gift, but that's not required with a real inheritance. Dunno if "benefactor's intent" renders this an inheritance.
    – user6726
    Jun 17 '21 at 5:03
  • Wondering if all siblings could dispute the will (including the now sole beneficiary) and then divide up the estate through inheritance, instead of a gift from the sole beneficiary
    – Jason p
    Jun 17 '21 at 5:05
  • @Jasonp can the estate holders intent be shown in any concrete form other than the will?
    – user28517
    Jun 17 '21 at 6:01

What could the three individuals consider to split the estate up in this fashion?

If there is an agreement of all interested parties they can do almost anything. But, only to the extent that it isn't to the detriment of creditors of the estate who aren't paid in full without their consent.

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