topic "I received a Schedule K-1 from a Decedent's Estate. Am I required to include the K-1 income on my 1040 since taxes were already paid by the estate (form 1041)?" in Business & farm

"I received a Schedule K-1 from a Decedent's Estate. Am I required to include the K-1 income on my 1040 since taxes were already paid by the estate (form 1041)?"

carl1 — Thu, 06 Jun 2019 16:02:05 GMT

IRS Publication 559, page 16 states "Income of the estate is taxed to either the estate or the beneficiary, but not to both." Since the estate has already paid the tax on this income, am I required to include this information on my form 1040?

If the estate paid the taxes on Form 1041, you should not...

CathiM — Thu, 06 Jun 2019 16:02:06 GMT

If the estate paid the taxes on Form 1041, you should not have received a K-1. But if you just leave the K-1 off your return, you will get a notice. The IRS receives a copy of your K-1 along with Form 1041, so they will be expecting to see the income from the K-1 on your tax return.

You need to check with the person responsible for filing the 1041 to clear this up. Ask for a copy of the estate return.

Some people get the 1041 Income Tax return for estates and trusts mixed up with the 706 Estate Tax return. On the 706 the taxes are always paid with the return.

I am the person filing the 1041. How do I eliminate the K-1?

carl1 — Thu, 06 Jun 2019 16:02:08 GMT

I am the person filing the 1041. How do I eliminate the K-1?