Is Beneficiary on Account Also Beneficiary on CTR?

Answered by:

Question:

Is a beneficiary on an account also the beneficiary on a CTR? For example: checking account is a sole-ownder account in the name of Mary Smith, her son John is listed on the account as beneficiary. Mary makes a $15,000 cash deposit. On the CTR is John also to be listed as beneficiary? I know that all joint owners are, but can't find anything that pertains to this, because if Mary were to pass away the funds become John's (So he could ultimately benefit from the funds).

Answer:

Randy Carey

No. The word beneficiary appears nowhere in the CTR instructions.

Answer:

John Burnett

The beneficiary of an "in trust for" deposit account or the designated beneficiary or beneficiaries of a "pay on death" account have no current legal interest in the account because either type of account allows for revocation of the beneficiary designation(s) at any time and for any reason prior to the last account owner's death. Deposits to such an account may, at some future time, land in a beneficiary's lap, but the deposits aren't made "on behalf of" the beneficiary for CTR purposes.