Hi Alan, My client, a widow was farming for many years. She died and in her will appointed her two daughters as executors of the will. In the will she left the farm grants together with other assets to her two sons. I have now to prepare final accounts for three years for this estate. During those three years, the daughters(executors) recorded all income including the farm grants and cattle sales in one bank and paid all expenses from that bank a/c. When the farm grants were received they were initially lodged to the executors bank a/c for the farm and then paid to the two brothers. Q: (1) when I am preparing the farm accounts for the three years. do I take into account the farm grants(which were paid out to the brothers) as income attributable to the estate? Q (2) given that the farm grants were payable out to the two brothers, can I take the payment out of the grants as a cost against the estate?
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