Taxes After Someone Dies: Who Gets the Tax Return of a Deceased Person?

Losing a loved one brings emotional hardship—and for many, a complicated set of responsibilities that must be addressed in the weeks and months that follow. This includes many financial and legal aspects of the deceased person’s estate, including how to handle their final tax return. A related question that often arises is: Who gets the tax return of a deceased person?

Whether it's a tax refund owed to the deceased or final filings that still need to be made, knowing the rules and following the right steps is essential for ensuring the estate is settled properly.

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Understanding the Basics: A Final Tax Return Is Required After Someone Dies

When someone passes away, the IRS still requires a final income tax return to be filed for that person for the portion of the year during which they were still alive. 

If the person dies in 2025, for example, a final Form 1040 will need to be filed by April 15, 2026, unless an extension is requested. The filing is typically handled by a surviving spouse, executor, or court-appointed personal representative.

If a refund is due on that return, it doesn't automatically go to the next of kin. Instead, who receives the refund depends on how the estate is structured and who has legal authority over it.

Who Can File the Tax Return After Someone Dies?

Before determining who receives any potential refund, it’s important to clarify who is eligible to file the return. In most cases, this responsibility falls to:

• The surviving spouse (if filing a joint return)
• The executor or personal representative of the estate
• A court-appointed administrator if there is no will or named executor

If the deceased was married at the time of death and the couple typically filed jointly, the surviving spouse can usually file a final joint return. Otherwise, the court-appointed or named representative must file on behalf of the deceased.

What Happens to the Tax Refund After Someone Dies?

If the deceased person is owed a refund, it legally belongs to the estate. That means the money does not immediately go to heirs or beneficiaries—it first flows through the estate, just like other assets.

Here’s how the process generally works:

1. File the Final Return
   The representative or surviving spouse files the deceased’s final Form 1040. If the deceased is owed a refund, the return should also include Form 1310, Statement of Person Claiming Refund Due a Deceased Taxpayer, unless the person filing is the surviving spouse or court-appointed representative.
   
   
2. Use of Form 1310
   Form 1310 is used when the person claiming the refund is not the surviving spouse or the officially recognized executor. For instance, if no executor has been named, and a family member is filing the return, Form 1310 is required to authorize the refund.
   
   
3. Distribution Through the Estate
   Once the IRS processes the refund, it will issue the payment to the estate or to the person legally entitled to it. If there is an open estate bank account, the funds will typically be deposited there. The executor will then distribute it along with the rest of the estate’s assets based on the will (or state laws if there is no will).

Legal Implications and Safeguards

It’s important to remember that the executor of the estate acts in a fiduciary role, meaning they have a legal obligation to manage estate assets—including tax refunds—responsibly and according to the law. The refund may need to be used to:

• Pay final bills or outstanding taxes
• Cover funeral or administrative expenses
• Resolve debts or legal claims

Only once the estate’s obligations have been met can the refund, or any part of it, be distributed to heirs or beneficiaries.

If the refund is significant, or if there is any dispute over the estate, it may be advisable to consult with an estate attorney to avoid potential legal issues.

Common Situations and How They’re Handled When Filing Taxes after Someone Dies

1. The Deceased Has a Will and an Executor
The executor files the return and receives the refund on behalf of the estate. After settling debts and obligations, the refund is distributed with the rest of the estate.

2. The Deceased Has No Will (Intestate Estate)
A court appoints an administrator, who becomes responsible for filing the tax return and managing the refund. The estate is distributed according to state intestacy laws.

3. The Deceased Was Married and Filed Jointly
The surviving spouse can file a joint return and will typically receive the full refund without the need for additional forms (no Form 1310 is required).

4. No Executor or Administrator Exists Yet
A family member or interested party can still file the tax return and request the refund by submitting Form 1310. However, they will not be able to distribute the refund until a legal representative is named.

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Managing a loved one’s final tax matters can feel like one more burden during an already overwhelming time. But taking the correct steps to file the final return, claim the refund properly, and handle it through the estate helps ensure that everything is aboveboard—and that beneficiaries receive what’s legally owed to them.

If you're unsure whether you're the right person to file or claim a refund, or if the estate is complex, it’s worth consulting with a professional. Doing so can protect you from liability and help settle the estate efficiently and lawfully. While no refund can replace the person who’s been lost, handling it with care honors their legacy—and brings one more piece of closure to the estate process.

Elayne helps families navigate the practical matters after a loss—with expert guidance and easy-to-use tools. Sign up for free to get started today.

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