Proper location of K-1s within 1041 trust return

Forum|Forum|1 year ago
March 19, 2025
8 replies
67 views

I'm preparing a 1041 trust return in Turbotax Business. In the past, I've always printed and mailed in the forms from the "Tax Return Only" option. This option randomly inserts the beneficiary K-1s into the middle of the tax return document, sandwiched between Form 8995 and Form 1116. That seems odd. Shouldn't they go at the end, or something? The beneficiaries already receive these separately and report them on their taxes, but do the K-1s themselves need to go to the IRS with the 1041? And is that the correct place for them?

TurboTax Business Windows

M-MTax

Level 15

Yes, you have to file the K-1s with the IRS if you're claiming an IDD.

See https://www.irs.gov/instructions/i1041#en_US_2024_publink1000286069

There really is no particular attachment sequence for them when e-filing (usually last anyway).

mlpinvestorAuthor

Level 4

Thanks, will do. But surely I don't need to include the K-1 instructions for the beneficiary? Turbotax includes those in the tax return itself for some reason.

I'm just afraid if I send in stuff they're not expecting to be included, or if it's not in the right order, it won't scan properly or import into whatever system they use for digitizing paper returns. I really don't know what they do with those. I have to mail it in because Business doesn't support importing 1099s, so I only made summary entries.