I have the following scenario would appreciate some advice. My Mom passed away in July 2023. She had a brokerage account at Schwab. Before I could get the new irrevocable trust account setup with the Trust's FEIN at Schwab and get everything moved over, 50 shares of stock sold due to some sort of buyout. The sale was not the result of any action by me, but rather just happened on it's own. This sale occurred 2 weeks after DOD.
Schwab has reported this profit on my Mom's 1099-B using her SSN. Not on the new Trust FEIN. And despite being on hold and on the phone with them for over 2 hours they insist they've reported this correctly and refuse to issue a correction. Is this reported correctly? Everything I've read says income should not be reported on a deceased person's SSN after DOD.
Should I just report it on her return to make the computers happy? (since this 1099-B has been reported to the IRS), or should I not report it there but let it be reported on the Trust's return?
