Looking for the Money in Florida Probate Litigation: the Florida accountant client privilege

Uncategorized • Aug 13, 2015

Some of the work which probate lawyers Palm Beach do is to assemble data about assets which are in the Palm Beach probate,and perhaps assets which are not in the probate but SHOULD be. Financial discovery ormarshalling the assets are tasks for trustees of Boca Raton living trusts and also Palm Beach Gardens estates. So, if you need to get income tax returns or accounting information for a probate, estate or trust, what do you do if the CPA or Florida accountantwon’t tell you about the finances & money? What do you do if the accountant won’t give you the income tax returns and raises the accountant client privilege under Florida evidence law?

Palm Beach probate litigation: where’s the money, honey?

So many adult children seem to think that mom and dad’s revocable trust in Florida should be flush with cash. Millions!
Where’s the millions of dollars that mom and dad had in their brokerage account and in that Boynton Beach joint bank account?
How many times does a probate case deal with whether all the money is in the estate or probate, or not?
A lot.
So, many times, family members or heirs who inherit under a relative’s will or Florida probate, wonder where all the money went.
Right?…many times, trust or estate beneficiaries think that mom or dad, or rich Aunt Jean, was a LOT richer than the executor of the will Boca Raton is saying.
So, one of the “easiest” or best places to look is at the deceased person’s income taxes, right?

Can the executor get the 1040’s?

Can an executor of a Palm Beach will get the decedent’s income tax returns?
Better yet…. can an estate beneficiary or someone involved in probate litigation Delray Beach snoop around and see what their mom or dad paid in income tax last year?
Does Florida probate law let ANYONE see the income tax returns for the deceased person?
When a beneficiary is wondering about how much their Florida inheritance is, what do they do? They want to see the 1040 Income Tax Returns to see what capital gains and interest and dividends were paid. Those items identify what assets mom or dad had, and what assets might be in the estate, or should be in the probate.
So, if you are involved in a Palm Beach probate and you think more money should be in the estate than the Jupiter, Florida personal representative is telling you, what do you do?
You conduct financial discovery in the probate.
The Florida Probate Rules specifically permit or allow discovery.
The question becomes: can you get or obtain all the income taxes, IRS tax form 1040’s, maybe even the accountant notes or files?
Well, Florida evidence law 90.5055 deals with the Florida accountant-client privilege.
So, what if you want to depose the CPA or the accountant who handled the deceased Florida resident’s taxes?
What if the accountant won’t tell you, or hires an estate lawyer Palm Beach to object to your notice of deposition or subpoena?
Want to read the Florida accountant client privilege law? Here is the link:http://www.leg.state.fl.us/STATUTES/index.cfm?App_mode=Display_Statute&Search_String=&URL=0000-0099/0090/Sections/0090.5055.html

The Florida accountant client privilege can be waived

You will have to deal with the Florida accountant-client privilege issue and the evidenciary issue of whether the accountant client privilege applies or not…..or whether it’s been waived. Read Fla. Stat. 90.5055
Remember, a waiver under Florida probate law is generally when one voluntarily and knowingly gives up some rights.
A recent, August 12, 2015 Florida appeals court case, from Palm Beach’s appellate court, Florida’s 4th District Court of Appeal deals with the waiver of the attorney client privilege in Florida lawsuits.
Whether the Florida accountant client privilege has been waived is a Florida evidence issue, an evidentiary issue which must be determined at a hearing.
It should not be ruled upon at a UMC hearing where no evidence is permitted.
Consider reading the case of Prime Group LLC v. Abbo. While it’s not a Palm Beach probate case, the information about the Florida Evidence Code and the Florida accountant client privilege will help estate law firms West Palm Beach and anyone involved in a will contest or undue influence case Palm Beach County.
Here is the link to read for free Florida’s 4th DCA’s opinion on this case involving Florida Chapter 90.5055 and the Florida accountant client privilege:http://www.4dca.org/opinions/Aug%202015/8-12-15/4D15-1688.op.pdf