I received a 1099 for an account tied to my now deceased parent whose SSN was listed on the 1099 instead of the Estate EIN. How do I account for 1099 on both returns?

To clarify....how do I document the 1099 on the personal (final-deceased) tax return while putting the 1099 income on the correct Estate tax return?

Yes, you can do this quite simply and report income only on the estate tax return. Use the 1099 form needed below.

 

Nominee Returns.  This is how the IRS knows what you are doing.

Generally, if you receive a Form 1099 for amounts that actually belong to another person or entity, you are considered a nominee recipient. You must file a Form 1099 with the IRS (the same type of Form 1099 you received).  You must also furnish a Form 1099 to each of the other owners. 

 

File the new Form 1099 with Form 1096 (this is a transmittal for the 1099) by mailing to the Internal Revenue Service Center for your area. (Provided on the Form 1096)

• On each new Form 1099, list your deceased parent as the payer and the other owner (estate), as the recipient. On Form 1096, list your deceased parent as the nominee filer, not the original payer.  The nominee (estate) is responsible for filing the subsequent Forms 1099 to show the amount allocable to each owner.

The forms filed with the IRS should be the red copy so if you don't have a color printer, go to the IRS website and order the forms here: 

• Form 1096
• Form 1099-INT
• Form 1099-DIV
• Form 1099-S
• Form 1099-B