1099 forms for an irrevocable trust tax return are under the deceased grantor's ssn - not the trust's ein. Will this cause a problem with the irs?

butchoksness · ‎June 1, 2019

My mother who passed away 12/20/2017 had established a living trust 29 years ago. She put funds in a Schwab living trust account. This trust had 2018 dividend, interest and capital gains income but the 1099 forms supplied by Schwab were under her SSN. I think Schwab should have created a new trust with it's own EIN when notified that she had passed away. Then the 1099 forms would have an EIN that matches the EIN on the trust income tax return that was filed. Will this cause a problem with the IRS?

tagteam · ‎June 1, 2019

" I think Schwab should have created a new trust with it's own EIN..."

The trust should have applied for and received an EIN but that process was likely not Schwab's responsibility.

You can contact Schwab and request that they issue a corrected 1099-B with the trust's EIN but, if that is not a possibility, you can file a 1041 with a statement that the income and gains shown on the 1099-B belong to the trust and your mother received them as nominee.

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1099 forms for an irrevocable trust tax return are under the deceased grantor's ssn - not the trust's ein. Will this cause a problem with the irs?

Retirement tax questions