Tax Implications of Having Foreign Beneficiary

[araknis]

What is the name of your state? CA

My mother recently passed away and had named her sister in law as the beneficiary of her life insurance (instead of my father). Her sister in law is a resident of a foreign country and does not have SSN. Are there any tax implications with this? I'm guessing my mom should have left my father as the beneficiary and had him gift the money to my aunt.

 

[pojo2]

Why do you care it has nothing to do with you or Dad or the estate or anything else? She merely produces a death certificate and the funds are hers it never sees anyone elses hands unless it has been improperly cashed in. The foreign part and how they tax it is not a question for this site it is US LAW ONLY.

What should have been is too late.

 

[Dandy Don]

The beneficiary needs to contact the IRS or a tax accountant in any state in the US to find out if there will be tax implications. The IRS is going to eventually contact her about this anyway, so she needs to set aside the money if there is any tax liability.

DANDY DON IN OKLAHOMA (tiekh@yahoo.com)