turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

Working on a 1041, decedents Will directed a Cash Bequeath to a local Church. Is a cash bequeath to a Church deductible on 1041?

I'm preparing an Estates 1041 that has about $30 K of income.  The decedents Will left a cash bequeath to be paid from the Estates assets to  a  Church.  Can the bequeath be considered a charitable deduction on Form 1041?
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

6 Replies

Working on a 1041, decedents Will directed a Cash Bequeath to a local Church. Is a cash bequeath to a Church deductible on 1041?


@RMClark55 wrote:
........Can the bequeath be considered a charitable deduction on Form 1041?

See https://www.irs.gov/instructions/i1041#en_US_2023_publink1000286181

 

 

Working on a 1041, decedents Will directed a Cash Bequeath to a local Church. Is a cash bequeath to a Church deductible on 1041?

Thanks for your reply.  What is confusing me is information I was given by someone that said the charitable contribution that was included in the Will is only deductible on Form 1041 "if the contribution is be made from trust income, not principal".  There is very little "income generated by the estate" but but enough to file 1041.  Is the trust principal the cash in the trust that was transferred from the decedents checking/savings accounts" If so it appears the contribution made via the Will may not be deductible on the 1041?  It's a bit confusing.  Thanks for any additional information  you might have.

Working on a 1041, decedents Will directed a Cash Bequeath to a local Church. Is a cash bequeath to a Church deductible on 1041?

OK, really simple: In order to be deductible on a 1041, the donation needs to be made from gross income.

 

The gross estate is reduced by a charitable bequest and that would be reported on a 706 (if that form needs to be filed, which is typically only for large estates).

Working on a 1041, decedents Will directed a Cash Bequeath to a local Church. Is a cash bequeath to a Church deductible on 1041?

I really appreciate your response and trying to make it simple.  To really dumb it down for me let me give the particulars.  Estate has $350,000 in cash that is made up of the descendants checking and savings accounts plus $32,000 Income from Dividends, interest and a 1099-R.  The Will gave a cash Bequeath  of $75,000 to a local Church.  Is the 75K an allowable Deduction on 1041? I don’t know how to determine if the donation came from the Income or not.  Hope that made sense. 

Working on a 1041, decedents Will directed a Cash Bequeath to a local Church. Is a cash bequeath to a Church deductible on 1041?

If that was set aside in the Will, then it is probably not from income (unfortunately).

Working on a 1041, decedents Will directed a Cash Bequeath to a local Church. Is a cash bequeath to a Church deductible on 1041?

Thank you.  It was left to the Church in the Will but was not specified the donation was to come from Income earned by the Estate.   I was hoping I could just "assume" part of the donation came from the Income generated by the state and the rest from the Will's cash assets but I don't think it's worth the risk given the Tax burden isn't significant. 

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
Manage cookies