My Mom died. She had LTC Ins. with-return of premium benefit-I(son) the beneficiary. No Claims filed. Some of-return of premiums-was taxable. Who reports this income?

[jam4travel]

My mother passed away.  She Had a Long Term Care Insurance Policy with a "return of premium benefit".  I’m her son, the designated beneficiary on her LTC Policy, and the executor of her estate. No claims were ever filed under this policy.  I as the beneficiary received a Return of Premium totaling-$65,683.47.  Since my mother had deducted a portion of these premiums as medical expenses on Schedule A of her Form 1040s, $12,634.00 of the Return of Premiums is taxable.  My mother was the person who deducted these premiums as a medical expense deduction, not me.  How and where is this income reported, the estate's Form 1041, or my Form 1040?

[Hal_Al]

In TurboTax (TT), enter at:
- Federal Taxes tab

 - Wages & Income

Scroll down to:

-Less Common Income

      -Misc Income, 1099-A, 1099-C

       - On the next screen, choose –reimbursed deductions from a prior year

It will go on line 21 o form 1040 as "Other Income"

"The refund is included in the beneficiary's gross income and is taxable, to the extent it was either excluded from the owner's income or deducted by the owner. It must be included as income in the year it is received." Reference: http://www.aaltci.org/long-term-care-insurance/learning-center/tax-for-business.php/#premium