I was hoping to resolve an issue I am having regarding a missing 1099 for my brother’s estate. He passed away in July, 2021. His employer provided three checks after his death.
- His last paycheck made payable to him.
- A check for his remaining sick pay made out to me because I was listed as the beneficiary.
- A check for his vacation pay made payable to the estate because he had not listed a beneficiary for vacation pay.
In late January or early February I received my brother’s W2 and a 1099-MISC in my name for the amount of the sick pay (#2 above.)
Am I mistaken in thinking that I should also have received a 1099-MISC in the name of the estate for the vacation pay (#3 above?) The check was for approximately $10,000.
I have emailed the employer multiple times but have not been given a satisfactory answer. They say they sent the W2 for my brother and the 1099 in my name, and there is no other 1099 to come. They have also said “The wages/annual leave go on W2 because we withheld taxes.”
I thought I would have to file income taxes for the estate since the $10,000 vacation pay was made payable to the estate after my brother’s death. Is that correct? If so, what should I do about the missing 1099-MISC? I am also now wondering if the W2 has an error. I can not be sure what his wages (Box 1) should have been. I do not know if the employer put the vacation pay in Box 1 or only Box 3. The amount in Box 3 is about $11,000 more than Box 1 if that tells you anything.
I would appreciate any guidance you can provide. I would like to avoid paying taxes on the same money twice, but I want to make sure I file everything correctly. In summary, should I have received a 1099 for the estate? If so, how should I proceed without one, and if not, do I need to file income taxes for the estate at all? (Without the vacation pay the estate did not generate income of more than $600.)
Thank you.
