Discussion:1041 Estate Return *
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Discussion Forum Index --> Tax Questions --> 1041 Estate Return *
| 17 March 2008 | |
| I am filing a return for a deceased client. Both Husband and wife died in 2007. They had a trust. Their assets were all liquid and I'm pretty sure were completely disbursed to their in 2007.
It is my understanding that I still file a regular 1040 for 2007. However, their son did apply and recieve an EIN # for their estate. All their 1099's were reported in one or the other's SS#, except one. A 1099 for an IRA distribution has the estate # on it instead of their SS#. So my questions are as follows: Do I file a regular 1040 for 2007? If so, do I report this IRA that is in the estate EIN on their return. If everything has been disbursed in 2007 do I need to do a 1041 in 2008 to close things up, or can this be the final return. I know I should research this but it is so much quicker to ask all you smart people, and I enjoy reading everyone's answers. Thanks, Gail | |
| 17 March 2008 | |
| Gail, the way this works is you have to first fill out your profile | |
| 17 March 2008 | |
| but I'll give you a short answer:
1040 for 2007? YES 1041 for 2007? YES, but what is tax year-end? | |
| 17 March 2008 | |
| I've actually been active on this site for a couple of years. Just never got around to the profile. Didn't know if it really mattered. I'll do it now.
I'll just research because I am still confussed on this. I did an Estate return about 8 years ago, which was a much more complicated situation this this, but I haven't done one since and my brain doesn't retain. Thanks, Gail | |
| 17 March 2008 | |
| many people will not give answers to people without a profile | |
| 18 March 2008 | |
| Hi Gail, my bro lives in Troy. You can elect a FYE for the 1041, use it to your benefit. Basically count tweleve mos. from DOD. It can help greatly. If the EIN has already been obtained (sonny may not have filled it out correctly), check the SS-4 copy to see what FYE he selected. And tell him to stop filling out forms on his own. I do a dozen or so very complicated Charitable Remainder Unitrusts for wealthy Californians (they are all tanned, wealthy, and gorgeous in CA), and the same number of Trusts, enough to be dangerous. I have a close friend who does 350+ Trust returns. Whenever I am in doubt I email or call her to clarify. If you are going to do these returns, highly recommend you get some backup. They are good moneymakers, but hard to learn on from scratch when you are in sole practice. Ok, I've had to much coffee, I need to get up, and slowly walk away from the computer. BTW, in about two - three hours, the CA contingent begins to wake up, you will get some good input from them (after they leave the beach and tennis courts and get in to the office). | |
| 18 March 2008 | |
| year-end election is not made on the SS-4, that's just an estimate | |
| 18 March 2008 | |
| Exactly. You know what I meant Kevin5, or maybe not. The first return file establishes the FYE. However I recall a thread where IRS was looking for the 1041, by letter communication, for the FYE stated on the EIN. Sorry to have confused the issue. Still the FYE is an important tool. Also, don't shame me by shouting "NOT", I do not appreciate that. | |
| 18 March 2008 | |
| Lancer, I didn't mean to offend you, I was only making a point for the OP. | |
| 18 March 2008 | |
| Ok, that is a weakness with email format, good to share info, not always able to hear intentions. No problem, and I have stopped drinking coffee:) | |
