As trustee of my sister who passed in Nov. 2021, I was able to finally receive back paid Social Security of almost $63,000 in 2024. The Trust already has distributed its assets and is planning on filing the final 1041 to close the trust. Now I need advice on how to best report the Form SSA-1099 benefits. If I list it as "Other Income" on the 1041, the income seems to be passed on to the 2 beneficiaries through the K-1. This seems to mean that each beneficiary will need to pay taxes in their own 1040's? Hope someone knows a better way to handle this situation?
