What the Inventory Must Cover
The estate inventory is one of the most important early steps in estate administration. It creates a snapshot of everything the decedent owned at the time of death. The duties of a personal representative include listing each asset with enough detail for heirs and devisees, creditors, and the court to understand the full picture.
Within ninety days after his appointment, a personal representative, who is not a special administrator or a successor to another representative who has previously discharged this duty, shall prepare an inventory of property owned by the decedent at the time of his death, listing it with reasonable detail, and indicating as to each listed item, its fair market value as of the date of the decedent's death, its nature as community or separate property and the type and amount of any encumbrance that may exist with reference to any item.
A.R.S. § 14-3706(A)Each item must include three pieces of information: its fair market value on the date of death, whether it is community or separate property, and any liens or mortgages attached to it. This covers everything from a bank account to real estate and personal belongings. The detail matters for dividing the decedent's estate correctly and for income tax returns and other filings.
Filing Options for the Inventory
The personal representative has a choice. They can file the original inventory with the court and send copies only to interested persons who ask. Or they can skip the court filing entirely. In that case, they must deliver or mail a copy to each heir (in an intestate estate) or devisee (if a will has been probated), plus anyone else who requests it.
The personal representative may file the original of the inventory with the court and send a copy of the inventory only to interested persons who request it; or, if he elects not to file the inventory with the court, he must deliver or mail a copy of the inventory to each of the heirs in an intestate estate, or to each of the devisees if a will has been probated, and to any other interested persons who request it.
A.R.S. § 14-3706(B)This flexibility reflects a preference for efficient, informal probate. Some families prefer the transparency of a court filing. Others value privacy and choose to distribute the inventory directly. Either approach satisfies the statute.
Why the Inventory Matters to Families
A complete inventory protects everyone involved. It helps the personal representative meet their fiduciary duties by documenting what is in the estate. It gives heirs and devisees a clear picture of what they may receive once the estate is distributed.
For estates that include real estate, business interests, or valuable personal property, an accurate inventory also supports proper tax reporting. The values listed may be needed for income tax returns and other filings related to the decedent's estate.
Failing to prepare the inventory on time can create problems. It may delay distributions and raise questions about how the estate is being managed. Taking this step within the 90-day deadline keeps the administration on track.