Hello, my wife’s mother passed away in late 2019, and the estate was settled since. My wife’s mother had a traditional IRA account that was inherited by my wife, and the name/SSN were changed to my wife’s as inherited IRA (account description “mother name Deceased IRA FBO my wife name”). My wife has been getting a 1099R for the required minimum distribution (RMD) every year. In early 2024, my wife received a check issued to her mother’s name for about $17, and the description is “trade processing fee rebate” from the brokerage firm. She has not done anything with it since the check has her mother’s name and all her accounts were closed years ago. Now my wife just received a 1099R issued to her mother’s name and social security number for about $20 from the brokerage firm, with federal and state tax withholdings that net to $17, the amount on the check that she received in early 204. The 1099R shows code “7” distribution code with IRA/SEP/Simple box “checked”.
- What do we need to do with the 1099R? The 1099R shows her mother’s name and social security number. It does not belong to my wife for our income tax reporting. Tax year 2019 was the last year that we filed the deceased return of her mother.
- Is my wife, who was the executor of her mother’s estate, responsible to do anything at this point?
- What does my wife do with the check that is in her mother’s name? All her mother’s accounts were closed years ago.
