Hi, My dad passed away January 2025, and I inherited a POD CD account. I was listed as the POD beneficiary on this CD bank account. This January , I received a 2025 1099-INT for the interest earned ...
See more...
Hi, My dad passed away January 2025, and I inherited a POD CD account. I was listed as the POD beneficiary on this CD bank account. This January , I received a 2025 1099-INT for the interest earned on this account (approx. $900), but the 1099-INT lists my dad's SSN. I called the bank who issued the 1099-INT and they said they cannot change the 1099INT to my SSN. Bank said they could change it to estate's EIN if we wanted to, but only thru working with the legal personal representative (my sibling). There is no trust involved for the CD. The CD did not go through probate since POD. I understand that the principal is not reported/taxed (is an amount less than estate tax limits). My impression (from reading on TT) is that any interest earned/paid from time of dad's death to CD close/maturity date should be reported on my (the POD beneficiary) 2025 tax return. But someone else stated that the inherited CD interest should be reported on the estate's tax return for 2025. Questions: 1. Who reports the inherited CD interest from time of death in January till close of CD for a POD CD for 2025? (for practical purposes, I think all of the 2025 interest was earned/paid to account after dad's date of passing). 2. If it is the beneficiary who should report, will the IRS be puzzled if I (beneficiary) report the inherited CD interest on my 2025 1040 tax return, because they will *not* have received a 1099-INT from bank under my SSN for the $900 interest? 3. Does my dad/dad's estate need to submit a nominee 1099-INT to let the IRS know that the interest should go on the beneficiary's tax return (not sure if I have the correct terminology)? Currently the 1099-INT is under dad's SSN. If needed, how would one do a nominee 1099-INT (ie from dad's SSN to dad's estate EIN to beneficiary SSN? Sounds complicated : ) Thank you so much for your help in advance!!