1041 Fiduciary before disbursement to beneficiaries

[richardaernst]

My father passed away on May 25th 2022.

- The estate is in probate (has not been closed)

- There is an EIN number for the Estate

- Bank Funds reported on 1099-R have been collected by the estate and are being held in an Estate account

- There are two beneficiaries, but no funds have been distributed as of yet.

- I anticipate that all property and financial distributions along with Schedule K1s will be complete in 2023

- At that point a final closing 1041 Fiduciary with Schedule K1 will be filed?

My question is:

As the executor of the estate, its my understanding that I must file a  non-closing 1041 Fiduciary by April 18th 2023 (unless I go down the path of using the calendar year option - not at the moment).  I do NOT have the SSAN of one of the beneficiaries.  Do I / can I file a non-closing 1041 Fiduciary on April 18th 2023 without listed beneficiaries?

Vr

Rich

[DianeW777]

Yes, you must file a Form 1041 by April 18th, 2023, for 2022, if the estate earned taxable income of $600 or more.  Exception: If you choose to use a fiscal year which would have to be requested when the application for an Estate ID or EIN was completed.

• An estate does not have to use a calendar year as its tax year. An estate may elect a fiscal year, so long as the ending month of the estate's initial fiscal year must end no later than the last day of the calendar month that is no more than twelve months from the date of the decedent's death.

You do need the social security number of all the beneficiaries when filing the return.

• Instructions for Form 1041
  • Penalty. You may be charged a $50 penalty for each failure to provide a required TIN, unless reasonable cause is established for not providing it. Explain any reasonable cause in a signed affidavit and attach it to this return.  (See page 41)

@richardaernst 

[Edited: 04/08/2023 | 6:04p PST]

[richardaernst]

My question is:

As the executor of the estate, its my understanding that I must file a  non-closing 1041 Fiduciary by April 18th 2023 (unless I go down the path of using the calendar year option - not at the moment).  I do NOT have the SSAN of one of the beneficiaries.  Do I / can I file a non-closing 1041 Fiduciary on April 18th 2023 without listed beneficiaries?

[tagteam · Accepted solution]

---

@richardaernst wrote:

I do NOT have the SSAN of one of the beneficiaries.  Do I / can I file a non-closing 1041 Fiduciary on April 18th 2023 without listed beneficiaries?

---

No. 

First of all, you do not have to file a 1041 for calendar year 2022 unless the estate had income of $600 or more during the 2022 calendar year.

Further, you cannot file the return without the SSN of one of the beneficiaries without also filing an affidavit that the SSN could not be obtained.

See Treas. Reg. §301.6109-1(c)

Every person required under this title to make a return, statement, or other document must furnish such taxpayer identifying numbers of other U.S. persons and foreign persons.........If the person making the return, statement, or other document does not know the taxpayer identifying number of the other person, such person must request the other person's number. The request should state that the identifying number is required to be furnished under authority of law. When the person making the return, statement, or other document does not know the number of the other person, and has complied with the request provision of this paragraph (c), such person must sign an affidavit on the transmittal document forwarding such returns, statements, or other documents to the Internal Revenue Service, so stating..........

[richardaernst]

@DianeW777.  nice information, but that wasn't my question and doesn't provide an answer!  If I may offer a bit of advice in the future, please read the question and surrounding context of peoples questions before you answer.  

Vr

Rich