@HydroSci wrote:
I have this same problem. Irrevocable trust (living trust). I made a 645 election. TT does not have a "step by step" way of addressing the 645. So I checked the 645 box in G and entered the EIN of the trust beneath that. However, when I checked the Decedent's Estate - Date of Death (DE) box in A , as required by the IRS, it gives an error because the Complex Trust (CT) box is also checked. I cannot uncheck the CT box, even if I first uncheck the DE box. Suggestions?
Have a tax professional prepare the return. Preparing a return with Section 645 election is not a DIY proposition; you need professional assistance. TurboTax Business is programmed to prepare relatively simple and straightforward income tax returns for entities, in Step-by-Step Mode, and a 1041 with a Section 645 election is definitely not within that realm.
As an aside, a 645 election is made by the trustee of a qualified revocable trust and the executor of the related estate; irrevocable trusts are typically not considered "owned by the decedent" on the decedent's date of death and, hence, are generally not qualified.
Further, you cannot have both both boxes checked on your 1041. Since the trust is treated as part of the estate, only the estate box would be checked.
Please, at least consult with a qualified tax professional with respect to this tax scenario.
