NJ-1041 needed or not?

Forum|Forum|3 years ago
March 14, 2023
6 replies
45 views

My father-in-law's Estate realized $2,800 in income which was distributed to 4 beneficiaries via K-1s and the Federal IRS form 1041 form was recently submitted and Estate closed.

The income distribution from the K-1 for my wife was entered in our 1040 form and shows up on both the federal and NJ taxes as income.

The Estate NJ-1041 instruction form says a NJ-1041 is only required if the gross income for the Estate, before deductions and exemptions, is greater than $10,000. As such, since the Estate only realized $2,800 in total income I wish to confirm there is no need for us to file a NJ-1041 in closing the Estate?

Thanks in advance for any perspectives.

TurboTax Business Windows

Best answer by KrisD15

Yes, you should be fine not filing for NJ.

Very sorry for your loss.

KrisD15

Alumni - Intuit

The 10,000 is prorated, so it would depend on the date of death.

According to the State of New Jersey:

“The fiduciary of every resident estate or trust must file a New Jersey Gross Income Tax Fiduciary Return (Form NJ-1041) if gross income, before exemptions or deductions, was more than $10,000 (prorated for the number of months covered by a part-year return) during the tax year. “

NJ-1041

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deeMatrixAuthor

Level 3

My FIL passed on Thanksgiving 11/25/2021 but no income was generated at all in 2021 and then only $2,800 in 2022. The Estate was closed in 2022. So then if I'm understanding this correctly we should be ok?

Thanks in advance.