I am very sorry for your loss.
@Brett-IA wrote:
Do I have to file a final 1040 and a 1041?
Yes. Simply put, you would file a final 1040 for your mother which would include the interest up through the date of her passing (9/2022) and then a 1041 for the interest from that date through the end of 2022 (12/31/2022).
@Brett-IA wrote:
On the 2nd account 1099-INT it has a EIN I created. Cant I simply add that interest to my personal taxes? or do I have to submit a 1041 for that as well?
For the second trust, assuming it is a grantor trust, you could report using one of the optional methods (see link below) but since you received an EIN, you would generally file a 1041 with a GIS Grantor Information Statement. You would then report the information (income) on your 1040.
https://www.irs.gov/instructions/i1041#en_US_2022_publink1000286018
@Brett-IA wrote:
The last question is next year. These assets will be sold this year (2023). Do I just cover that with a 1041 for my mothers trust?
Yes, assuming those assets are still in your mother's trust (i.e., have not been transferred to the second trust).
