[Rev. 11/21/2013 9:49:07
AM--2013]
CHAPTER 150 - COMPENSATION AND ACCOUNTING
COMMISSIONS
NRS 150.010 Expenses
and compensation of personal representative.
NRS 150.020 General
compensation.
NRS 150.025 Compensation
of personal representative who is an attorney.
NRS 150.030 Compensation
for extraordinary services.
NRS 150.040 Contracts
for higher compensation void.
NRS 150.050 Allowance
on compensation.
ATTORNEY’S FEES
NRS 150.060 Attorneys
for personal representatives and minor, absent, unborn, incapacitated or
nonresident heirs: General compensation.
NRS 150.0605 Attorneys
for petitioners generally: Compensation when estate’s value does not exceed $100,000.
NRS 150.061 Attorneys
for personal representatives: Compensation for extraordinary services.
NRS 150.063 Attorneys
for personal representatives: Apportionment of compensation for two or more
attorneys.
NRS 150.065 Attorneys
for personal representatives: Allowance of compensation after period for
creditors to file claims against estate.
NRS 150.067 Attorneys
for personal representatives: Final compensation; petition; notice; hearing and
order.
RENDERING OF EXHIBITS AND ACCOUNTS
NRS 150.070 Liability
of personal representative; accounting required for property sold over
inventoried value.
NRS 150.075 Waiver
of accounting.
NRS 150.080 First
account: Filing and contents.
NRS 150.100 Penalties
for failure to file first account.
NRS 150.105 Annual
account: Contents.
NRS 150.110 Final
account: Filing; penalties for failure to file.
NRS 150.115 Supplementary
account to final account.
NRS 150.120 Accounting
when authority of personal representative ceases.
NRS 150.130 Accounts
of deceased or incapacitated personal representative: Accounting by personal
representative, guardian or attorney.
NRS 150.140 Revocation
of letters when personal representative absconds and fails to account.
NRS 150.150 Vouchers
for payments: Filing not required; examination and audit; lost or unavailable.
NRS 150.160 Account
and petition for settlement: Hearing and notice.
NRS 150.170 Contest
of account: Rights of interested person; hearing.
NRS 150.180 Appointment
of attorney to represent minor, unborn, incapacitated or absent heirs and
devisees; fees.
NRS 150.190 Proof
of notice necessary before allowance of account.
NRS 150.200 Allowance
and confirmation of account.
NRS 150.210 Effect
of order settling account.
PAYMENT OF DEBTS, EXPENSES AND CHARGES
NRS 150.225 Payments
to be made according to will; sources of payment if provision or property of
will insufficient.
NRS 150.230 Duty
to pay certain expenses, allowances, debts and claims upon receipt of
sufficient money; discretion to pay certain smaller debts; funeral expenses and
expenses of last illness not charged to community share of surviving spouse.
NRS 150.240 Order
of court for payment of debts; treatment of classes of creditors; discharge of
personal representative upon compliance with order if property of estate
exhausted.
NRS 150.250 Claims
not yet due and contingent or disputed claim.
NRS 150.260 Liability
of personal representative.
NRS 150.270 Claim
not included in order of payment.
NRS 150.280 Closing
administration.
APPORTIONMENT OF FEDERAL ESTATE TAX
NRS 150.290 Short
title.
NRS 150.300 Definitions.
NRS 150.310 Proration
of tax among persons interested in estate; exceptions.
NRS 150.320 Direction
for apportionment of estate tax: Precedence; limitation.
NRS 150.330 Jurisdiction
of court; methods of proration.
NRS 150.340 Present
and future estates: Charge of tax against corpus without apportionment.
NRS 150.350 Property
not possessed by personal representative: Recovery from person in possession or
interested in estate; court may direct payment; expenses.
NRS 150.360 Court
order directing amounts of tax to be charged against or paid by takers of
estate.
NRS 150.370 Retention
of jurisdiction by court.
NRS 150.380 Apportionment
of tax and expenses imposed and incurred on property located or administered in
this State in estate of nonresident.
OTHER FEDERAL TAXES
NRS 150.400 Apportionment;
limitations.
_________
COMMISSIONS
NRS 150.010 Expenses and compensation of personal representative. A personal representative must be allowed all
necessary expenses in the administration and settlement of the estate, and fees
for services as provided by law, but if the decedent by will makes some other
provision for the compensation of the personal representative, this shall be
deemed a full compensation for those services, unless within 60 days after his
or her appointment the personal representative files a renunciation, in
writing, of all claim for the compensation provided by the will.
[206:107:1941; 1931 NCL § 9882.206]—(NRS A 1999, 2329; 2003, 2514; 2011, 1455)
NRS 150.020 General compensation.
1. If no compensation is provided by the
will, or the personal representative renounces all claims thereto, fees must be
allowed upon the whole amount of the estate which has been accounted for, less
liens and encumbrances, as follows:
(a) For the first $15,000, at the rate of 4
percent.
(b) For the next $85,000, at the rate of 3
percent.
(c) For all above $100,000, at the rate of 2
percent.
2. The same fees must be allowed to the
personal representative if there is no will.
3. If there are two or more personal
representatives, the compensation must be apportioned among them by the court
according to the services actually rendered by each.
4. In addition to the fees described in
subsection 1, the court may allow such fees as it deems just and reasonable if
the fees authorized pursuant to subsection 1 are not sufficient to reasonably
compensate the personal representative.
[207:107:1941; 1931 NCL § 9882.207]—(NRS A 1987, 511; 1999, 2330; 2009, 1632)
NRS 150.025 Compensation of personal representative who is an attorney.
1. Notwithstanding any provision to the
contrary in the will, a personal representative who is an attorney retained to
perform services for the personal representative may receive compensation for
services as a personal representative or for services as an attorney for the
personal representative, but not both, unless the court:
(a) Approves a different method of compensation
in advance; and
(b) Finds that method of compensation to be for
the advantage, benefit and best interests of the decedent’s estate.
2. The provisions of this section shall
not be construed to disallow compensation for services rendered by an attorney
as a personal representative if:
(a) Such services are included as part of the
legal services of the attorney in a manner consistent with NRS 150.060; and
(b) The attorney does not receive compensation
pursuant to subsection 1 of NRS 150.020.
3. The services which are rendered by a
personal representative who is an attorney and for which compensation is
requested pursuant to this section include services rendered by an employee,
associate or partner in the same firm of such an attorney and services rendered
by an affiliate of such an attorney.
4. As used in this section, “affiliate”
has the meaning ascribed to it in NRS
163.020.
(Added to NRS by 2011, 1455)
NRS 150.030 Compensation for extraordinary services. Such further allowances may be made as the
court deems just and reasonable for any extraordinary services, such as:
1. Management, sales or mortgages of real
or personal property.
2. Contested or litigated claims against
the estate.
3. The adjustment and payments of
extensive or complicated estate taxes.
4. Litigation in regard to the property of
the estate.
5. The carrying on of the decedent’s
business pursuant to an order of the court.
6. Such other litigation or special
services as may be necessary for the personal representative to prosecute,
defend or perform.
[208:107:1941; 1931 NCL § 9882.208]—(NRS A 1975,
1776; 1999,
2330)
NRS 150.040 Contracts for higher compensation void. A
contract between a personal representative and an heir or devisee for a higher
compensation than that allowed by NRS 150.020 and 150.030 is void.
[209:107:1941; 1931 NCL § 9882.209]—(NRS A 1999, 2330)
NRS 150.050 Allowance on compensation.
1. A personal representative, at any time
after the issuance of letters and upon such notice to the interested persons as
the court requires, may apply to the court for an allowance upon his or her
fees.
2. On the hearing, the court shall enter
an order allowing a personal representative who applied to the court pursuant
to subsection 1 such portion of the fees, for services rendered up to that
time, as the court deems proper, and the portion so allowed may be charged
against the estate.
[210:107:1941; 1931 NCL § 9882.210]—(NRS A 1977,
1017; 1999,
2330; 2011,
1455)
ATTORNEY’S FEES
NRS 150.060 Attorneys for personal representatives and minor, absent,
unborn, incapacitated or nonresident heirs: General compensation.
1. An attorney for a personal
representative is entitled to reasonable compensation for the attorney’s
services, to be paid out of the decedent’s estate.
2. An attorney for a personal
representative may be compensated based on:
(a) The applicable hourly rate of the attorney;
(b) The value of the estate accounted for by the
personal representative;
(c) An agreement as set forth in subsection 4 of NRS 150.061; or
(d) Any other method preapproved by the court
pursuant to a request in the initial petition for the appointment of the
personal representative.
3. If the attorney is requesting
compensation based on the hourly rate of the attorney, he or she may include,
as part of that compensation for ordinary services, a charge for legal services
or paralegal services performed by a person under the direction and supervision
of the attorney.
4. If the attorney is requesting
compensation based on the value of the estate accounted for by the personal
representative, the allowable compensation of the attorney for ordinary
services must be determined as follows:
(a) For the first $100,000, at the rate of 4
percent;
(b) For the next $100,000, at the rate of 3
percent;
(c) For the next $800,000, at the rate of 2
percent;
(d) For the next $9,000,000, at the rate of 1
percent;
(e) For the next $15,000,000, at the rate of 0.5
percent; and
(f) For all amounts above $25,000,000, a
reasonable amount to be determined by the court.
5. Before an attorney may receive
compensation based on the value of the estate accounted for by the personal
representative, the personal representative must sign a written agreement as
required by subsection 8. The agreement must be prepared by the attorney and
must include detailed information, concerning, without limitation:
(a) The schedule of fees to be charged by the
attorney;
(b) The manner in which compensation for
extraordinary services may be charged by the attorney; and
(c) The fact that the court is required to
approve the compensation of the attorney pursuant to subsection 8 before the
personal representative pays any such compensation to the attorney.
6. For the purposes of determining the
compensation of an attorney pursuant to subsection 4, the value of the estate
accounted for by the personal representative:
(a) Is the total amount of the appraisal of
property in the inventory, plus:
(1) The gains over the appraisal value on
sales; and
(2) The receipts, less losses from the
appraisal value on sales; and
(b) Does not include encumbrances or other
obligations on the property of the estate.
7. In addition to the compensation for
ordinary services of an attorney set forth in this section, an attorney may
also be entitled to receive compensation for extraordinary services as set
forth in NRS 150.061.
8. The compensation of the attorney must
be fixed by written agreement between the personal representative and the attorney,
and is subject to approval by the court, after petition, notice and hearing as
provided in this section. If the personal representative and the attorney fail
to reach agreement, or if the attorney is also the personal representative, the
amount must be determined and allowed by the court. The petition requesting
approval of the compensation of the attorney must contain specific and detailed
information supporting the entitlement to compensation, including:
(a) If the attorney is requesting compensation
based upon the value of the estate accounted for by the personal
representative, the attorney must provide the manner of calculating the
compensation in the petition; and
(b) If the attorney is requesting compensation
based on an hourly basis, or is requesting compensation for extraordinary
services, the attorney must provide the following information to the court:
(1) Reference to time and hours;
(2) The nature and extent of services
rendered;
(3) Claimed ordinary and extraordinary
services;
(4) The complexity of the work required;
and
(5) Other information considered to be
relevant to a determination of entitlement.
9. The clerk shall set the petition for
hearing, and the petitioner shall give notice of the petition to the personal
representative if he or she is not the petitioner and to all known heirs in an
intestacy proceeding and devisees in a will proceeding. The notice must be
given for the period and in the manner provided in NRS 155.010. If a complete copy of the
petition is not attached to the notice, the notice must include a statement of
the amount of the fee which the court will be requested to approve or allow.
10. On similar petition, notice and
hearing, the court may make an allowance to an attorney for services rendered
up to a certain time during the proceedings. If the attorney is requesting
compensation based upon the value of the estate as accounted for by the
personal representative, the court may apportion the compensation as it deems
appropriate given the amount of work remaining to close the estate.
11. An heir or devisee may file objections
to a petition filed pursuant to this section, and the objections must be
considered at the hearing.
12. Except as otherwise provided in this
subsection, an attorney for minor, absent, unborn, incapacitated or nonresident
heirs is entitled to compensation primarily out of the estate of the
distributee so represented by the attorney in those cases and to such extent as
may be determined by the court. If the court finds that all or any part of the
services performed by the attorney for the minor, absent, unborn, incapacitated
or nonresident heirs was of value to the decedent’s entire estate as such and
not of value only to those heirs, the court shall order that all or part of the
attorney’s fee be paid to the attorney out of the money of the decedent’s
entire estate as a general administrative expense of the estate. The amount of
these fees must be determined in the same manner as the other attorney’s fees
provided for in this section.
[211:107:1941; 1931 NCL § 9882.211] + [Part
291:107:1941; 1931 NCL § 9882.291] + [Part 307:107:1941; 1931 NCL §
9882.307]—(NRS A 1971, 564; 1975, 1776; 1977, 1018; 1979, 1097; 1995, 20; 1999, 2330; 2009, 1632,
2524; 2011, 1455)
NRS 150.0605 Attorneys for petitioners generally: Compensation when estate’s
value does not exceed $100,000. If
the estate is set aside pursuant to NRS
146.070, the court may order reasonable attorney’s fees and costs to be
paid from the assets being set aside directly to the attorney for the
petitioner.
(Added to NRS by 2011, 1455)
NRS 150.061 Attorneys for personal representatives: Compensation for
extraordinary services.
1. If an attorney for a personal
representative receives compensation pursuant to NRS
150.060 based on the value of the estate accounted for by the personal
representative, the court may allow additional compensation for extraordinary
services by the attorney for the personal representative in an amount the court
determines is just and reasonable after petition, notice and hearing in the
manner provided in NRS 150.060.
2. Extraordinary services by the attorney
for a personal representative for which the court may allow compensation
include extraordinary services performed by a paralegal under the direction and
supervision of the attorney.
3. The petition requesting approval for
compensation for extraordinary services must include the following information:
(a) Reference to time and hours;
(b) The nature and extent of services rendered;
(c) The complexity of the work required;
(d) The hours spent and services performed by a
paralegal if the compensation includes extraordinary services performed by a
paralegal as described in subsection 2; and
(e) Other information considered to be relevant
to a determination of entitlement.
4. An attorney for a personal representative
may agree to perform extraordinary services on a contingency fee basis if:
(a) There is a written agreement between the
personal representative and the attorney that sets forth the manner in which
the compensation is to be calculated and that is approved by the court after a
hearing; and
(b) The court determines that the compensation
provided in the agreement is just and reasonable and that the agreement will be
to the advantage of the estate and is in the best interests of the persons
interested in the estate.
5. Notice of a hearing required by
subsection 4 must be given for the period and in the manner provided in NRS 155.010.
6. As used in this section, “extraordinary
services” include, without limitation:
(a) Sales or mortgages of real or personal
property;
(b) Operating a decedent’s business;
(c) Participating in litigation relating to the
estate;
(d) Securing a loan to pay debts relating to the
estate; and
(e) Preparing and filing income tax returns for
the estate.
(Added to NRS by 2009, 1629)
NRS 150.063 Attorneys for personal representatives: Apportionment of
compensation for two or more attorneys.
1. If there are two or more attorneys for
a personal representative, the compensation must be apportioned among the
attorneys by the court according to the services actually rendered by each attorney
unless otherwise provided in an agreement by the attorneys.
2. If there are two or more personal
representatives and the personal representatives have separate legal
representation, each attorney for each personal representative is entitled to
have the compensation for attorneys apportioned among the attorneys by the
court according to the services actually rendered by each attorney unless
otherwise provided in an agreement by the attorneys.
(Added to NRS by 2009, 1630;
A 2011,
1457)
NRS 150.065 Attorneys for personal representatives: Allowance of
compensation after period for creditors to file claims against estate.
1. At any time after the expiration of the
period for creditors of the estate to file their claims in a summary or full
administration pursuant to NRS 145.060
or 147.040, as applicable, a personal
representative or an attorney for a personal representative may file a petition
with the court for an allowance upon the compensation of the attorney for the
personal representative.
2. The clerk shall set the petition for
hearing and the petitioner shall give notice of the petition to the personal
representative if he or she is not the petitioner and to all known heirs in an
intestacy proceeding and devisees in a will proceeding. The notice must be
given for the period and in the manner provided in NRS 155.010. If a complete copy of the
petition is not attached to the notice, the notice must include a statement of
the amount of the compensation which the court will be requested to approve or
allow and the manner in which the compensation was determined.
3. On the hearing, the court may enter an
order allowing the portion of the compensation of the attorney for the personal
representative for such services rendered up to that time as the court deems
proper. The order must authorize the personal representative to charge against
the estate the amount of compensation allowed by the court pursuant to this
subsection.
(Added to NRS by 2009, 1630;
A 2011,
1458)
NRS 150.067 Attorneys for personal representatives: Final compensation;
petition; notice; hearing and order.
1. At the time of the filing of the final
account and of a petition for an order for final distribution of the estate,
the personal representative or the attorney for the personal representative may
file a petition with the court for an order fixing and allowing the
compensation of the attorney for the personal representative for all services
rendered in the estate proceeding.
2. The request for compensation described
in subsection 1 may be included in the final account or in the petition for an
order for final distribution of the estate or may be made in a separate
petition.
3. The clerk shall set the petition for
hearing and the petitioner shall give notice of the petition to the personal
representative if he or she is not the petitioner and to all known heirs in an
intestacy proceeding and devisees in a will proceeding. The notice must be
given for the period and in the manner provided in NRS 155.010. If a complete copy of the
petition is not attached to the notice, the notice must include a statement of
the amount of the compensation which the court will be requested to approve or
allow and the manner in which the compensation was determined.
4. On the hearing, the court shall make an
order fixing and allowing the compensation for all services rendered in the
estate proceeding. The order must authorize the personal representative to pay
the attorney out of the estate the amount of compensation allowed by the court
pursuant to this subsection less any amount paid to the attorney out of the
estate pursuant to NRS 150.065.
(Added to NRS by 2009, 1631)
RENDERING OF EXHIBITS AND ACCOUNTS
NRS 150.070 Liability of personal representative; accounting required for
property sold over inventoried value.
1. A personal representative is
accountable for the whole estate that comes into the possession of the personal
representative at the value of the appraisement contained in the inventory,
except as otherwise provided in this title, and for all the interest, profit
and income of the estate.
2. A personal representative is not
accountable for any debts due the decedent that remain uncollected without his
or her fault.
3. A personal representative shall not
make profit by the increase nor suffer loss by the decrease or destruction of
any part of the estate without his or her fault. The personal representative
shall account for the excess when any part of the estate is sold for more than
the inventoried value and, if any assets are sold for less than that value, the
personal representative is not responsible for the loss if the sale has been
made according to law.
[203:107:1941; 1931 NCL § 9882.203] + [204:107:1941;
1931 NCL § 9882.204] + [205:107:1941; 1931 NCL § 9882.205]—(NRS A 1999, 2331)
NRS 150.075 Waiver of accounting. Notwithstanding
any other provision of this chapter, the court may waive the requirement of any
accounting if all interested persons agree in writing to the waiver.
(Added to NRS by 2001, 2348)
NRS 150.080 First account: Filing and contents. Within
6 months after the appointment of a personal representative, or sooner if
required by the court, upon its own motion or upon the petition of an
interested person, a personal representative shall file with the clerk the
first, verified account, showing:
1. The amount of money received and
expended by the personal representative.
2. The claims filed or presented against
the estate, giving the name of each claimant, the nature of his or her claim,
when it became due or will become due, whether it was allowed or rejected by
the personal representative, or not yet acted upon.
3. All other matters necessary to show the
condition of the estate.
[213:107:1941; 1931 NCL § 9882.213]—(NRS A 1999, 2332; 2001, 164)
NRS 150.100 Penalties for failure to file first account.
1. If the personal representative fails to
file the first account within the time specified in NRS
150.080, the court shall order a citation to issue requiring the personal
representative to file the account by a time to be stated in the citation, as
fixed by the court, or appear and show cause why the personal representative
should not be compelled to file the account.
2. If the personal representative fails to
file the account by the time stated, or show cause why not, the court, by
attachment or other proper process, may compel the personal representative to
file such an account or may revoke the letters, or both, and like action may be
taken in reference to any subsequent account the personal representative may be
required to file.
[214:107:1941; 1931 NCL § 9882.214]—(NRS A 1999, 2332)
NRS 150.105 Annual account: Contents. Until
all remaining property is delivered pursuant to an order of final distribution,
a personal representative shall file with the court, annually, an account
showing the income the personal representative has received, what expenditures
he or she has made, what property has been disbursed, or sold and at what
price, and the nature and value of the property remaining on hand.
(Added to NRS by 1999, 2329)
NRS 150.110 Final account: Filing; penalties for failure to file.
1. If all the property of an estate has
been sold or there is money available for the payment of all debts due by the
estate, and the estate is in a proper condition to be closed, the personal
representative shall file a final account and request a settlement of his or
her administration.
2. If the personal representative neglects
to file a final account, the same proceedings may be had as prescribed in this
chapter in regard to the first account to be filed by the personal
representative, and all the provisions relative to the first account, and the
notice and settlement thereof, apply to the account for final settlement.
[Part 231:107:1941; A 1953, 179] + [232:107:1941;
1931 NCL § 9882.232]—(NRS A 1999, 2332)
NRS 150.115 Supplementary account to final account. A
supplementary account of any receipts and disbursements by the personal
representative since the filing of the final account of the personal
representative must be filed before or at the time of making a final
distribution, unless the distribution is only of real property. A settlement of
the supplementary account, together with an estimate of the expense of closing
the estate, must be entered by the court and included in the order. The court
may order notice of the settlement of the supplementary account.
(Added to NRS by 1999, 2329)
NRS 150.120 Accounting when authority of personal representative ceases. If the authority of a personal representative
ceases or is revoked for any reason, the personal representative may be cited
by the court to account, at the instance of the person succeeding to the
administration of the same estate, in like manner as the personal
representative might have been by any interested person during the term of the
appointment.
[221:107:1941; 1931 NCL § 9882.221]—(NRS A 1999, 2333)
NRS 150.130 Accounts of deceased or incapacitated personal representative:
Accounting by personal representative, guardian or attorney.
1. If a personal representative dies or
becomes incapacitated, the accounts may be presented to the court by the
personal representative or guardian of the former personal representative. Upon
petition of a successor to the deceased or incapacitated personal
representative, the court shall compel the personal representative or guardian
to file an account of the administration. The court shall settle such an
account as in other cases.
2. In the absence of a personal
representative or guardian of the deceased or incapacitated personal
representative, the court may compel an attorney to file an account of the
administration to the extent that the attorney has information or records
available for that purpose. The account of the attorney need not be verified. A
fee must be allowed the attorney by the court for this extraordinary service.
[Part 231:107:1941; A 1953, 179]—(NRS A 1999, 2333)
NRS 150.140 Revocation of letters when personal representative absconds and
fails to account. If the personal
representative absconds, or if, after reasonable diligence, he or she cannot be
found, so that a citation cannot be personally served, and the personal
representative neglects to file an account within 20 days after the time fixed
for that purpose, the letters must be revoked.
[222:107:1941; 1931 NCL § 9882.222]—(NRS A 1999, 2333)
NRS 150.150 Vouchers for payments: Filing not required; examination and
audit; lost or unavailable.
1. A personal representative need not file
vouchers with the court to substantiate payments made in the administration of
the estate, but shall retain possession of the vouchers and permit their
examination by the court or an interested person.
2. The court, on its own motion or on
application ex parte for good cause by an interested person, may order
production for examination and audit the vouchers that support an account
specified in the order.
3. If any vouchers are lost, or for other
good reason cannot be produced on settlement of an account, the payment may be
proved by the oath of one competent witness. If it is proven that vouchers for
any disbursements have been lost or destroyed, that it is impossible to obtain
duplicates, and that the expenses were paid in good faith and were legal
charges against the estate, the personal representative must be allowed those
expenses.
[217:107:1941; A 1953, 505]—(NRS A 1967, 870; 1999, 2333)
NRS 150.160 Account and petition for settlement: Hearing and notice.
1. If an account and a petition for
settlement thereof is filed, the clerk shall set the petition for hearing and
the petitioner shall give notice for the period and in the manner required by NRS 155.010.
2. If the account is for a final
settlement and a petition for the final distribution of the estate is filed
with the account, the notice of settlement must so state, and on the settlement
of the account, distribution of the estate to those entitled thereto may be
made as soon as possible.
[215:107:1941; 1931 NCL § 9882.215]—(NRS A 1975,
1777; 1987, 782;
1999, 2334)
NRS 150.170 Contest of account: Rights of interested person; hearing.
1. An interested person may appear and
file written objections to the account and contest it.
2. Upon the hearing, the personal
representative may be examined under oath concerning the account and the
property and effects of the decedent and the disposition thereof.
3. All matters, including allowed claims
not addressed in the settlement of any former account and not reduced to
judgment, may be contested for cause shown.
[216:107:1941; 1931 NCL § 9882.216]—(NRS A 1999, 2334)
NRS 150.180 Appointment of attorney to represent minor, unborn,
incapacitated or absent heirs and devisees; fees.
1. If a minor is interested in the estate
who has no legally appointed guardian, the court may appoint a disinterested
attorney to represent the minor who may contest the account as any other
interested person might contest it.
2. The court may also appoint an attorney
to represent unborn, incapacitated or absent heirs and devisees.
3. An attorney so appointed must be paid
as provided in NRS 150.060.
[218:107:1941; 1931 NCL § 9882.218]—(NRS A 1971, 504;
1999, 2335;
2001, 2348)
NRS 150.190 Proof of notice necessary before allowance of account. No account may be allowed by the court until
it is first proved that the notice required by this chapter has been given, and
the order must show that such proof was made to the satisfaction of the court.
The order is conclusive evidence of the fact.
[220:107:1941; 1931 NCL § 9882.220]—(NRS A 1999, 2335)
NRS 150.200 Allowance and confirmation of account. If
an account comes before the court for allowance and there are no objections
filed by any interested person, and the account is made to appear to the court
to be correct and according to law, the court shall allow and confirm the
account.
[234:107:1941; 1931 NCL § 9882.234]—(NRS A 1999, 2335)
NRS 150.210 Effect of order settling account. An
order settling and allowing an account, when it becomes final, is conclusive
against all interested persons, but a person under legal disability has the
right to move for cause to reopen and examine the account, or to proceed by
action against the personal representative or his or her sureties at any time
before final distribution, and in any such action, the order is prima facie
evidence of the correctness of the account.
[219:107:1941; 1931 NCL § 9882.219]—(NRS A 1999, 2335)
PAYMENT OF DEBTS, EXPENSES AND CHARGES
NRS 150.225 Payments to be made according to will; sources of payment if
provision or property of will insufficient.
1. If a testator makes provision by will,
or designates property to be appropriated, for the payment of debts, the
expenses of administration or family allowances, they must be paid according to
that provision or out of the property thus appropriated, to the extent that the
provision or property is sufficient.
2. To the extent the provision or property
is insufficient, any portion of the estate not disposed of by the will must be
appropriated for that purpose. To the extent that is not sufficient, the
property given to residuary devisees, and thereafter all other property
devised, is liable for those obligations in proportion to the value or amount
of the respective devises, but specific devises are exempt from that liability
if exemption appears to the court necessary to carry out the intent of the
testator and there is other sufficient property.
(Added to NRS by 1999, 2329)
NRS 150.230 Duty to pay certain expenses, allowances, debts and claims upon
receipt of sufficient money; discretion to pay certain smaller debts; funeral
expenses and expenses of last illness not charged to community share of
surviving spouse.
1. The personal representative shall, as
soon as sufficient money is available, upon receipt of a sworn statement of the
amount due and without any formal action upon creditors’ claims, pay the
funeral expenses, the expenses of the last illness, the allowance made to the
family of the decedents, money owed to the Department of Health and Human
Services as a result of payment of benefits for Medicaid and wage claims to the
extent of $600 of each employee of the decedent for work done or personal
services rendered within 3 months before the death of the employer, but may
retain the necessary expenses of administration.
2. The personal representative is not
obliged to pay any other debt or any devise until the payment is ordered by the
court.
3. The personal representative may, before
court approval or order, pay any of the decedent’s debts amounting to $500 or
less if:
(a) Claims for payment thereof have been properly
filed in the proceedings;
(b) The debts are legally due; and
(c) The estate is solvent.
Ê In settling
the account of the estate, the court shall allow any such payment if the
conditions of paragraphs (a), (b) and (c) have been met. Otherwise, the
personal representative is personally liable to any person sustaining loss or
damage as a result of the payment.
4. Funeral expenses and expenses of a last
illness are debts payable out of the estate of the decedent and must not be
charged to the community share of a surviving spouse, whether or not the
surviving spouse is financially able to pay those expenses and whether or not
the surviving spouse or any other person is also liable therefor.
[226:107:1941; 1931 NCL § 9882.226]—(NRS A 1973, 404;
1975, 1777; 1995,
2576; 1997,
1253, 1490;
1999, 2336)
NRS 150.240 Order of court for payment of debts; treatment of classes of
creditors; discharge of personal representative upon compliance with order if
property of estate exhausted.
1. Upon the settlement of any account of
the personal representative after the time to file claims has expired, the
court shall order the payment of the debts as the circumstances of the estate
permit. If there is not sufficient money to pay all of the debts, the order
must specify the sum to be paid to each creditor.
2. No creditor of any one class may
receive any payment until all those of a preferred class are fully paid, and if
the estate is insufficient to pay all debts of any one class, each creditor of
that class must be paid a dividend in proportion to that creditor’s claim.
3. If the property of the estate is
exhausted by the payment ordered, the account constitutes a final account, and
the personal representative is entitled to his or her discharge upon filing the
necessary proof showing that he or she has complied with the order.
[225:107:1941; 1931 NCL § 9882.225]—(NRS A 1999, 2337)
NRS 150.250 Claims not yet due and contingent or disputed claim.
1. If there is a claim not due, or any
contingent or disputed claims against the estate, the amount thereof, or such
part of the amount as the holder would be entitled to if the claim were due,
established or absolute, must be paid to the clerk and there remain, to be paid
over to the holder when the holder becomes entitled thereto or, if the holder
fails to establish a claim, to be paid over or distributed as the circumstances
of the estate require.
2. If a creditor whose claim has been
allowed but is not yet due appears and assents to a deduction therefrom of the
legal interest for the time the claim has yet to run, the creditor is entitled
to be paid accordingly.
3. The payments provided for in this
section are not to be made if the estate is insolvent unless a pro rata
distribution is ordered.
[227:107:1941; 1931 NCL § 9882.227]—(NRS A 1999, 2337)
NRS 150.260 Liability of personal representative.
1. If an order is entered by the court for
the payment of creditors, the personal representative is personally liable to
each creditor for the amount of his or her claim, or the dividends thereon, and
execution may be issued upon the order as upon a judgment in any other action,
in favor of each creditor, and the same proceedings may be had under the
execution as if it had been issued upon a judgment.
2. The personal representative is also
liable on his or her bond to each creditor.
[228:107:1941; 1931 NCL § 9882.228]—(NRS A 1999, 2337)
NRS 150.270 Claim not included in order of payment. After
the accounts of the personal representative have been settled and an order
entered for the payment of debts and distribution of the estate, no creditor
whose claim was not included in the order for payment has any right to call
upon the creditors who have been paid, nor upon the heirs or devisees to
contribute to the payment of the claim, but if the personal representative has
failed to give the notice to creditors, as prescribed by law, that creditor may
recover on the bond of the personal representative the amount for which the
claim would properly have been allowed.
[229:107:1941; 1931 NCL § 9882.229]—(NRS A 1999, 2337)
NRS 150.280 Closing administration.
1. If all the debts and liabilities of an
estate have been paid, and the estate is in a condition to be closed, the court
shall direct the payment of devises and the distribution of the estate among
those entitled as provided in chapter 151 of
NRS.
2. If the estate is not in a condition to
be closed, the court shall direct the payment of devises and the distribution
of the estate among those entitled at such time as it thereafter may be in a
condition to be closed.
[230:107:1941; 1931 NCL § 9882.230]—(NRS A 1999, 2338)
APPORTIONMENT OF FEDERAL ESTATE TAX
NRS 150.290 Short title. NRS 150.290 to 150.380,
inclusive, may be cited as the Federal Estate Tax Apportionment Law.
(Added to NRS by 1957, 228; A 1999, 2338)
NRS 150.300 Definitions. As
used in NRS 150.290 to 150.380,
inclusive, unless the context otherwise requires:
1. “Gross estate” or “estate” means all
property included for federal estate tax purposes in determining the federal
estate tax pursuant to the federal estate tax law.
2. “Person interested in the estate” means
any person who receives or is the beneficiary of any property transferred
pursuant to a transfer which is subject to a tax imposed by any federal estate
tax law, now existing or hereafter enacted.
(Added to NRS by 1957, 228; A 1999, 2338)
NRS 150.310 Proration of tax among persons interested in estate; exceptions.
1. If it appears upon any accounting, or
in any appropriate action or proceeding, that a personal representative,
trustee or other fiduciary has paid or may be required to pay an estate tax to
the Federal Government under the provisions of any federal estate tax law, now
existing or hereafter enacted, upon or with respect to any property required to
be included in the gross estate of a decedent under the provisions of any such
law, the amount of the tax must be equitably prorated among the persons
interested in the estate, whether residents or nonresidents of this State, to
whom the property was, is or may be transferred or to whom any benefit accrues,
except:
(a) Where a testator otherwise directs in his or
her will.
(b) Where by written instrument, including,
without limitation, an electronic trust, executed inter vivos direction is
given for apportionment among the beneficiaries of taxes assessed upon the
specific fund dealt with in the instrument.
2. As used in this section, “electronic
trust” has the meaning ascribed to it in NRS
163.0015.
(Added to NRS by 1957, 228; A 1999, 2338; 2001, 2348)
NRS 150.320 Direction for apportionment of estate tax: Precedence;
limitation.
1. A testator, settlor, or possessor of
any appropriate power of appointment may direct how the estate tax shall be
apportioned or allocated or grant a discretionary power to another so to
direct. Any such direction shall take precedence insofar as the direction
provides for the payment of the estate tax or any part thereof from property
the disposition of which can be controlled by the instrument containing the
direction or delegating the power to another.
2. Any direction as to apportionment or
nonapportionment of the tax, whether contained in a will or in a
nontestamentary instrument, shall be limited in its operation to the property
passing thereunder unless such will or instrument otherwise directs.
(Added to NRS by 1957, 228)
NRS 150.330 Jurisdiction of court; methods of proration.
1. The proration must be made by the court
having jurisdiction of any property in the estate in the proportion that the
value of the property, interest or benefit of each such person bears to the
total value of the property, interest and benefits received by all such persons
interested in the estate.
2. In making a proration, allowances must
be made for any exemptions granted by the act imposing the tax and for any
deductions allowed by that act for the purpose of arriving at the value of the
net estate.
3. Any exemption or deduction allowed by
reason of the relationship of any person to the decedent or by reason of the
charitable purposes of the gift inures to the benefit of the person bearing the
relationship or receiving the charitable gift, except that, if an interest is
subject to a prior present interest which is not allowable as a deduction, the estate
tax apportionable against the present interest must be paid from principal.
4. A deduction for property previously
taxed and a credit for gift taxes or taxes of a foreign country paid by the
decedent or the estate of the decedent inures to the proportionate benefit of
all persons liable to apportionment.
5. A credit for inheritance, succession or
estate taxes or taxes in the nature thereof in respect to property or interests
includable in the gross estate inures to the benefit of the persons or interests
chargeable with the payment of the taxes to the extent or in proportion that
the tax paid or payable reduces the estate tax.
6. To the extent that property passing to
or in trust for a surviving spouse does not constitute an allowable deduction
solely by reason of an inheritance tax or other death tax imposed upon and
deductible from such property, it must not be included in the computation
provided for in subsection 1, and to that extent, no apportionment may be made
against that property.
7. The values used for federal estate tax
purposes are the values used as the basis for apportionment.
8. If the court finds that it is
inequitable to apportion interest and penalties in the same manner as the
principal of the estate tax by reason of special circumstances, it may direct
apportionment of interest and penalties in a manner different from principal.
(Added to NRS by 1957, 228; A 1999, 2338)
NRS 150.340 Present and future estates: Charge of tax against corpus without
apportionment.
1. In cases where a trust is created, or
other provision made whereby any person is given any interest in income, or an
estate for years, or for life, or other temporary interest in any property or
fund, the tax on both such temporary interest and on the remainder thereafter
shall be charged against and paid out of the corpus of such property or fund
without apportionment between remainders and temporary estates.
2. The provisions of subsection 1 shall
apply notwithstanding that the holder of a temporary interest is given rights
to the corpus, but shall not apply to a common-law annuity.
(Added to NRS by 1957, 229)
NRS 150.350 Property not possessed by personal representative: Recovery from
person in possession or interested in estate; court may direct payment;
expenses.
1. If any property required to be included
in the gross estate does not come into the possession of the personal
representative, the personal representative shall recover from whoever is in
possession, or from the persons interested in the estate, the proportionate
amount of the tax payable by the persons interested in the estate with which
the persons interested in the estate are chargeable. The court may direct the
payment of that amount by those persons to the personal representative.
2. The provisions of subsection 1 also
apply to persons in possession of or interested in real or personal property
located in or subject to administration in another state and required to be
included in the gross estate of a resident of this State, unless the other
state refuses to enforce the apportionment, in which case apportionment may be
made in accordance with the law which would be applied by the other state.
3. A person interested in the estate from
whom apportionment is required under subsections 1 and 2 must also be charged
with the amount of reasonable expenses, including the personal representative’s
and attorney’s fees, in connection with the determination of the tax and the
apportionment thereof. Those expenses must be determined and collected in like
manner as the tax.
(Added to NRS by 1957, 229; A 1999, 2339)
NRS 150.360 Court order directing amounts of tax to be charged against or
paid by takers of estate.
1. The court, upon making a determination
as provided in NRS 150.290 to 150.380, inclusive, shall enter an order directing the
personal representative or other fiduciary to charge the determined amounts
against the persons against whom the tax has been prorated insofar as the
personal representative or other fiduciary is in possession of property or
interests of those persons against whom the charge may be made, and summarily
directing all other persons against whom the tax has been prorated or who are
in possession of property or interests of those persons to make payment of the
determined amounts to the personal representative or other fiduciary.
2. The orders may be preliminary,
intermediate or final.
3. If the personal representative or other
fiduciary holds property of a person liable to apportionment which is
insufficient to satisfy the determined amount, the court may direct that the
balance be paid by the person liable.
4. If it appears that the personal
representative or other fiduciary cannot recover the amount apportioned against
any person, the amount not recovered must be charged in such manner as the
court may determine.
5. If an overpayment is made the court may
direct appropriate reimbursement.
(Added to NRS by 1957, 230; A 1999, 2340)
NRS 150.370 Retention of jurisdiction by court. The
court shall retain jurisdiction until the purposes of NRS
150.290 to 150.380, inclusive, have been
accomplished.
(Added to NRS by 1957, 230; A 1999, 2340)
NRS 150.380 Apportionment of tax and expenses imposed and incurred on
property located or administered in this State in estate of nonresident. Tax imposed and expenses incurred by reason of
inclusion for tax purposes of property located or administered in this State,
in the estate of a nonresident of this State, shall be apportioned in accordance
with the law of the decedent’s domicile, applicable to property located
therein.
(Added to NRS by 1957, 230)
OTHER FEDERAL TAXES
NRS 150.400 Apportionment; limitations.
1. Except as otherwise provided by the
donor or decedent in writing:
(a) Except as otherwise provided in paragraph
(c), for gifts that were made subject to the federal gift tax and in cases
where the decedent’s estate is insufficient to pay all federal gift taxes due
at the time of the decedent’s death, the unpaid federal gift tax must be borne
on a pro rata basis by those receiving the transfers that triggered the tax in
the proportion that the value of the property, interest or benefit of each such
person bears to the total value of the property subject to the federal gift
tax.
(b) The federal generation-skipping transfer tax
must be borne on a pro rata basis by those persons receiving the transfers that
triggered the tax in the proportion that the value of the property, interest or
benefit of each such person bears to the total value of the property subject to
the federal generation-skipping transfer tax.
(c) The application of exclusions, exemptions,
deferrals or other provisions of the law available at the time of each transfer
must be applied in chronological order to the transfers to which they relate.
(d) To the extent issues remain unresolved after
applying the principles set forth in paragraphs (a), (b) and (c), the
provisions of NRS 150.290 to 150.380,
inclusive:
(1) Must be applied to determine the
allocation, apportionment and collection of federal transfer taxes other than
the federal estate tax, including, without limitation, the federal gift tax and
the federal generation-skipping transfer tax; and
(2) Must be applied to determine the
procedures for the judicial determination of the apportionment of federal
transfer taxes other than the federal estate tax, including, without
limitation, the federal gift tax and the federal generation-skipping transfer
tax.
2. Notwithstanding the provisions of
subsection 1:
(a) This section must not be construed to allow
the apportionment or enforcement of the collection of any tax to the extent
such tax has not been paid and the collection thereof is no longer enforceable
under applicable federal law; and
(b) A recipient of a transfer is not required to
pay tax in an amount that exceeds the value of the property received by the
recipient or the maximum amount payable by the recipient under federal law,
whichever is less.
3. As used in this section, “estate” means
all property included for federal estate tax purposes in determining the
federal estate tax pursuant to the federal estate tax law.
(Added to NRS by 2009, 1631;
A 2011, 181)
