Filing taxes for a deceased parent

Forum|Forum|3 years ago
November 17, 2022
5 replies
15 views

I was the poa for my mother who passed away in January 2022. I split her assets between myself and my brother. How do I report that on her and my taxes?

Corrlich44

Level 6

Hi kiakitty,

Great question!

If you and your brothers are beneficiaries or heirs, you will not report any of the distributed assets on either of your tax return, unless they were sold for more money than the inherited value of the asset.

As far as your mother's tax return is concerned, only the income she earned or the deductions she incurred for 2021 or 2022 would be reported on a final personal tax return for her, then you would prepare an estate tax return to account for all remaining assets at death and undistributed income, of which it all may be subject to exclusion or exemption once completed and no federal income tax would be paid.

You will have to assess the state separately.

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kiakittyAuthor

Level 2

In distributing her assets, I had to sell stock and then distribute to myself and my brother. Will I need to report any profit made when selling stock on my mom's tax return? Will I have to include on her return how much was distributed to me and my brother?

Thank you.