Understanding Schedule A, B, C in Probate Reports

In California probate accountings, the schedules are the detailed itemizations that support the overarching figures listed in the Summary of Account. In the standard Judicial Council format, these schedules are designated by letters corresponding to specific types of financial activity.

Understanding how to properly construct Schedules A, B, and C is crucial for an audit-ready, court-compliant report.

Schedule A: Receipts

Schedule A is often the most voluminous part of the accounting, tracking all income flowing into the estate or trust. This includes interest, dividends, rent, and miscellaneous income like tax refunds or uncashed checks from the decedent’s lifetime.

For standard accountings, Schedule A should be cleanly categorized into sub-schedules (e.g., A-1 for Dividends, A-2 for Interest) to make the data more accessible to the probate examiner.

A critical area of scrutiny here is the reporting of reinvested dividends. These must be reported as receipts (Schedule A), but simultaneously, the “carry value” of the underlying security must be increased to ensure the final accounting balances. Failing to make this two-step entry is a very common reason accountings fail to reconcile.

Schedule B: Gains on Sales

Schedule B is utilized when a fiduciary sells an estate asset for more than its initial carry value. Each entry on this schedule must clearly show:

• The date of sale
• The asset sold
• The gross sale price
• The initial carry value
• The resulting gain

This schedule is closely watched by beneficiaries because it directly impacts the fiduciary’s performance metrics and the statutory fee base. A “Gain on Sale” is a realized increase in value that proves the fiduciary successfully managed or liquidated the property.

Schedule C: Disbursements

Schedule C (sometimes referred to under different formatting, though standard GC-400 uses C for Disbursements) tracks everything that leaves the estate—excluding distributions to beneficiaries and business expenses.

Every single entry must include the date of payment, the payee, the exact purpose, and the amount. Common entries include property taxes, insurance premiums, appraisal fees, court filing fees, and funeral expenses.

Courts will swiftly reject vague entries like “Miscellaneous” or “Repairs.” The fiduciary must be specific (e.g., “Payment to ABC Plumbing for repair of water leak at 123 Main St”). If estate funds are used for something that does not clearly serve an estate purpose, beneficiaries will likely object to Schedule C as a first step toward a surcharge action. Meticulous documentation is your best defense.