Ian Bryzek, CPA
Share redemption after a shareholder dies
A corporate redemption of a deceased shareholder's stock needs corporate resolutions and payment records.
Distinguish a redemption from a cross-purchase among shareholders in the paperwork. The tax file should show who paid whom.
Redemption taxation is fact-specific—documents enable review.
What to keep with the file
Redemption taxation is fact-specific—documents enable review.
What to do next
Label the transaction clearly as a redemption and keep the corporate approvals with the payment proof.
What to gather
- Board or shareholder resolutions
- Redemption agreement
- Payment confirmations
- Stock cancellation records
- Any promissory notes for deferred payments
Who usually handles what
- Ian can organize the tax reporting question and the supporting records.
- An estate attorney handles title, authority, trust interpretation, and beneficiary rights.
A practical next step
Label the transaction clearly as a redemption and keep the corporate approvals with the payment proof.
Questions about title, probate authority, trust meaning, or a beneficiary's legal rights belong with an estate attorney. Start with the Professionals directory: /professionals/
Related guides
This is general tax information, not tax or legal advice. Outcomes depend on the documents, ownership, timing, and law that apply to the particular facts.