Question 1 & 2 - There is no way to decide which income you distributed. But you can decide just to pay the tax due at the at the estate level and skip the distributions. They then become distributions of post-tax income. That's the only fix you have for the problem.
Question 3 - It is income with respect ot a decedent. That's why the 1099-R was issued to her as an individual. But since you 1099ed it over to the estate it is now just estate income.
@J-Strat
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
