Ask Terry Questions IRS etc. record keeping for deceased parents

IRS etc. record keeping for deceased parents

By Terry Savage on January 26, 2019 | Wild Card

My father passed approximately three years ago and my mother passed a few months before him. I am the executor of his small estate. All taxes have been paid and the estate is closed and all funds have been disbursed according to their wishes. How long must I keep all the documents supporting what I did and how long must I keep their financial records i.e. W2’s, tax returns and sale of their home to move into a retirement center? Thank You a confused son.

Terry Says

Given what you’ve written, the most significant challenge to the assets they once owned would come from a state Medicaid program — IF they used Medicaid to finance their “retirement center” move.  States can  “look back”  from 5-7 years, depending on the state, to ask for repayment of benefits.

Other than that, and since the estate has been closed and is not being challenged, either by beneficiaries or the IRS, there is no particular reason to keep this documentation.  But you really asked the wrong person.  I am a saver of all documentation regarding taxes and finances!  So if you have room in your basement, let it linger a while longer!



a personal
finance question