A 1099-R represents payouts from a retirement account. An inheritance of money and property is probably not taxable - after all, the person who has passed paid taxes on that money while they were alive. But money that is in a retirement account is different. They didn't pay taxes on that before they passed and now you get to.
When you're looking at the 1099-R the taxable amount is box 2a. The total amount paid out is in box 1. Often, they're the same number. Because the 1099-R has been issued to the estate instead of the beneficiaries you are left with two choices (although you have to file an estate tax return in both) -
You can have the estate pay the taxes due. Then you just file the return and pay the bill. OR
You can file the return and list every beneficiary on the return. Then you can pass thru the income to those beneficiaries and they will pay the taxes on their personal tax returns. You will have to issue each beneficiary a form called a K-1 so that they know how much to report.
@rusty2021
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