@Loretta P wrote:
You are required to file a Form 1041 for the trust for the 2024 tax year. This is because the trust's income of $26,809 far exceeds the $600 filing threshold for a trust. Even though there were no distributions of income in 2024, the distributions of inherited property and cash from the will are considered distributions of principal or "corpus" and necessitate issuing a Schedule K-1s to the beneficiaries who received them.
The trust would be required to file a 1041 because it has taxable income for the year and also gross income of more than $600.
See https://www.irs.gov/instructions/i1041#en_US_2024_publink1000285943
The trust also would not be required to file and issue a K-1 since there are no distributions of income, deduction, credit, etc. that are being passed through to the beneficiary (distributions of corpus are not reported on K-1s).
FYI, trusts have trustees, not executors (executors are named in wills).
