I don’t believe there is any restriction on depositing the check into his account, since it was made out to him. Anyone can take a check made out to him with the account number and make a deposit into his account. I believe all you have to do is endorse the check with “For Deposit Only” in the usual endorsement line and it should be fine. I am not sure of how a death is even communicated to the bank. [With all the complaints of closed bank accounts being reactivated when a "standing debit" is issued (such as autopay set up for a recurring bill), the banks don't seem to mind at all. :/ ]

That way it enter automatically into his estate, by going into his bank account.

This method is how I prevented a past roommate from just cashing my check for half the rent and confirmed that he didn’t even have a checking account!

My condolences also on their loss.

State laws vary so widely that it would be wise to get a lawyer’s advice on fuzzy issues like this. Of course, that might cost more than the amount of the rebate. Ain’t Big Brother grand?

Q. If an individual dies, what happens to his or her direct deposit or stimulus check?

A. Stimulus payments will be issued in the name of the individual eligible for payment on a filed 2007 income tax return or to the account designated by the individual on that return. This includes situations where a person dies after filing a return or where the final 2007 income tax return was filed by a personal representative or surviving spouse. Any issues or concerns involving a decedent’s filed return or the related stimulus payment should be addressed by the legal representative of the decedent’s estate. See Publication 559 for more useful information for survivors and personal representatives. [Updated 3/17/08]

Jim

Given that we don’t know the child’s age, nor the state of residence, this is a bit of a crap shoot for advice. If they were a minor, the Estate most likely goes in its entirety to the parents. If not a minor (or adult ward of the parents depending on mental capacity), in some states the Estate would become property of the state. Then it’s up to state rules how this is handled.

LOTS of variables in the situation.

If you are an adult, get a will. Name your wife or a relative the beneficiary of ALL your financial accounts (bank, 401k, etc).

A. Stimulus payments will be issued in the name of the individual eligible for payment on a filed 2007 income tax return or to the account designated by the individual on that return. This includes situations where a person dies after filing a return or where the final 2007 income tax return was filed by a personal representative or surviving spouse. Any issues or concerns involving a decedent’s filed return or the related stimulus payment should be addressed by the legal representative of the decedent’s estate. See Publication 559 for more useful information for survivors and personal representatives. [Updated 3/17/08]
http://www.irs.gov/newsroom/ar.....81,00.html

2. Estate
No will means intestate succession. This can and does vary by states, but most likely doesn’t in this case. The son was not married and had no kids. So his estate should belong to his parents. His estate will go through probate court, and as Kyle noted, if it is large you will want to hire a lawyer to assist, though this is basic stuff.

Does a deceased taxpayer qualify for the stimulus payment?

If the deceased taxpayer qualifies for the stimulus payment, their estate will receive the stimulus payment. If the final return was married filing jointly and there is no other appointed representative for the deceased taxpayer, the surviving spouse will receive the stimulus payment.

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I don’t think they can deposit that check (even if they still have access to his account). Instead, they should write to the IRS and have a new check re-issued with the estate’s names (in this case, them).