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Level 1
posted Feb 9, 2024 6:14:32 PM

1041 final estate return $600 exemption

The estate's final return (fiduciary return, 1041) only has capital gain from sale of decedent's property. IRS rules indicate this qualifies to "stay with the estate" for income tax purposes, with the estate paying the tax due (versus passing along to beneficiaries). But when I check "final return" for the estate, the $600 exemption disappears. This does not square with IRS rules. Is this on TT's bug list to correct?

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1 Replies
Level 3
Apr 8, 2024 7:07:32 PM

Why would the gains "stay with the Estate," unless they were not distributed to the Beneficiary(ies)?

 

I'm filing a First and Final 1041, and there was never a prompt for the Exemption. I added it through Forms, but I thought you could take it even if it is a Final 1041?  So I'm interested in the response to this.