Discussion:1041 requirement?
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Discussion Forum Index --> Basic Tax Questions --> 1041 requirement?
Discussion Forum Index --> Tax Questions --> 1041 requirement?
| 21 July 2008 | |
| Decedent's trust which bypasses probate, includes instruction to distribute assets to her three children at her death. However, so far, the personal rep has not effected the distribution. I'm assuming, therefore, that a 1041 needs to be filed for any income/earnings since DoD, is that correct?
Thanks. | |
| 21 July 2008 | |
| read the 'who needs to file' section of the 1041 instructions
there are 3 instances that require a 1041, we can't tell from your post whether any of the 3 have been met | |
| 21 July 2008 | |
| Yes, however if the trust was revocable a ยง645 election may allow a fiscal year selection with the timing to clean up the mess. | |
| 21 July 2008 | |
| Yes, there has been in excess of $600 in gross income and the fiscal year ends 7/31/08. None of the funds have been distributed and probably won't be by 7/31/08. So, even though the trust funds avoided probate, since the PR did not distribute, I'm assuming a 1041 needs to be done, correct?
If so, I reckon I won't see a 1099 for a fiscal year ending 7/31/08, correct? If that's the case, I'd have to pull monthly statements and calculate any income and gains...does that sound right? | |
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