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That depends.  When you inherit money that was taxed while the person who passed was alive then they already paid taxes on that money.  So it is not taxable to the heirs.  But if they did not pay taxes on the money (money earned after they died, like interest, and retirement accounts, etc.) then it is taxable to the heirs.   In your case all of the property appears to have been transferred into the trust including the money from the sale of the house.  Since you are the sole beneficiary of the trust, when it starts distributing money to you there may be some earnings from investments that is taxable but the main amount of money that was deposited there by your father will not be taxable as it is distributed.  If the trust does well and earns a lot there may be taxes due.  But it sounds like a purchased annuity might be a good way to go.   @MCbluelake 

You will need to contact the IRS for information. It might be easiest to set up an account with them.   IRS Individual Online Account   Taxpayers with a Social Security number or an Individual Taxpayer Identification Number can create or access their IRS Individual Online Account to get information they need to file their return. With an IRS Individual Online Account, people can: View balance owed, payment history and schedule payments. Cancel scheduled payments. Get transcripts. View or create payment plans. See digital copies of some IRS notices. View key data from their most recently filed tax return, including adjusted gross income. Validate bank accounts and save multiple accounts, eliminating the need to re-enter bank account information every time they make a payment. View, approve and electronically sign power of attorney and tax information authorizations from their tax professional. 

Yikes I just noticed that Schedule SE line 8d is not showing the W2 168,000 amount from 8a.    Then line 9 should be zero  but it is blank which is ok.  And no SS tax on line 10.  So it is calculating right.  Seems to be just a display issue.   @PatriciaV   Can you tell support about line 8d?  

If you are the only one that received the 1099, then you would need to issue a 1099 to him in order for him to get half of the income.  You cannot just split it in half.  Then you would take it as a deduction on your taxes as subcontractors paid.  The company should issue the 1099-NEC to the person earning the money, not just one person.  So, if you can get them to make the correction, it would be easier than you issuing one to him.  

Yes.  Only one of you can claim her, so if they claimed her, you should remove her from your return.  Form 8832 is for parents who do not live together, whether or not they were married or divorced.  

If you are a non-married couple who live together with your child, then only one of you can claim the child(ren) and the one not claiming the child does not enter anything at all on their tax return about the child.   The “sharing” of child-related credits you may have heard about is only possible between divorced or never married parents who live apart and share custody and who have a written agreement to share the credits.    The child’s SSN can only be entered on one tax return.   Any other return with the child’s SSN on it will be rejected.   If you are a family, then work out how to share the refund between yourselves.

Are you talking about box 12 or box 14 on the W-2? Box 14 has more to do with state and local but it does not have a code K.  it generally has no affect on your federal return.  Box 12 code K is 20% excise tax on excess golden parachute payments per IRS instructions.  Code K—20% excise tax on excess golden parachute payments (not applicable to Forms W-2AS, W-2CM, W-2GU, or W-2VI). If you made excess golden parachute payments to certain key corporate employees, report the 20% excise tax on these payments. If the excess payments are considered to be wages, report the 20% excise tax withheld as income tax withheld in box 2

Yes, it is correct. In Indiana, the state tax credit for ABLE accounts is specifically for contributions to the Indiana ABLE program, known as INvestABLE Indiana. Other ABLE accounts, even if set up in Indiana, are not eligible for the same tax credit.