Estate Return marked Final

[3ether3]

I believe that a trustee for my mother's estate filed a 2022 return and marked it as final.  However, he did not transfer title of the properties until halfway through 2023.  I plan on using July 1st as the date I inherited the property.  This means that the estate will need to file at least one 1099 NEC for 2023.  What are the consequences considering a final return was filed?  Will this be a red flag for my personal return?

[M-MTax]

Why a 1099-NEC???? Your basis is the FMV on the date your mother passed away no matter what so July 1st is the wrong date for that. Transfer of title is a formality.

[3ether3]

My mother passed two years ago.  All property was kept in the trust until July of 2023.  A return was filed for the trust in 2021 and 2022.  A 1099NEC has been reported by the trust each year since she passed  for work done on the property.

[DianeW777]

It's not necessary to file a trust return for 2023. And, as a side note, the IRS does not want unnecessary tax returns. 

As indicated, the value of the property on the date of death becomes your cost basis in the property regardless of the transfer date. Or equally between beneficiaries if there is more than one person (yourself and other heirs). 

As of the date of death you own the property and a 099-NEC is not required in 2023 from the estate/trust.  You were the owner and any work done on the property would be your responsibility.  

If you paid someone else to do work on the property, then you should issue a 1099-NEC to that business person if the payment was $600 or more. The estate/trust was final in 2022.

@3ether3