DISTRIBUTING MONEY FROM AN INHERITED IRA IN A TRUST TO A BENEFICIARY

[trust812]

As a Trustee if I distribute money from an Inherited IRA in a Trust to a Beneficiary and send a check does the check have to be deposited by the Beneficiary during the same tax year? For example, if I mailed a check on December 31st, 2024 to a Beneficiary but it wasn’t deposited until 2025. Are K-1’s for 2024 issued in 2025?

[trust812]

When is the latest a K-1 can be filed for a given tax year? 

[VolvoGirl]

I imagine by April 15 the same as the due date for the 1041.  1041 Instructions

https://www.irs.gov/pub/irs-pdf/i1041.pdf

[trust812]

@tagteam When you say ending date the K-1 is filed do you mean April 15th when the 1041 is filed?

[VolvoGirl]

If you file the 1041 return and K-1 for 2024 then the K-1 will need to go on the individual’s 2024 personal 1040 return, not 2025.   A lot of K-1s are issued after April 15 and people who are expecting them will need to file extensions for their returns or amend their tax return when they get a K-1.   

[trust812]

@tagteam So for the calendar year of 2024 if my father died on 09/01/2024 would I use that as the beginning date or 01/01/2024 on Form 1041? Am I to assume when filing the 2024 1041 tax return by April 15, 2025 if I mailed out the 2024 K-1’s to the Beneficiaries in January or February I would be alright? 

[trust812]

Thank you for your condolences and help!