1040/1041/1099s-Rental Property and Annuity

[Yueh1]

I have similar situation as eagleman1 and morlanb who posted on another thread.

My mom passed in Aug ‘24, has trust (obtained separate EIN when she passed), and I’m the successor trustee and personal rep of her estate. She has bank accts, a brokerage acct, rental property (townhome not sold yet), and an annuity. I understand from other responses that her 1099-INTs (and assume 1099-DIV) can be all reported on her final personal return.
My questions are:

1) How about her rental property income? Does that need to be split or also ok to report on her final personal return? If split, how would I handle that because only a single 1099-MISC (under her SSN) was provided?

2) I made withdrawals from her annuity while she was alive for expenses. Those proceeds would go her personal return. Upon her passing, I cashed out her annuity for eventual distribution to beneficiaries. A portion of the distribution is taxable, and the 1099-R was issued against the trust’s EIN. Am I correct the entire taxable amount would be reported as income under the estate’s return?

Thanks for your help!

[RobertB4444]

1. Since the 1099-MISC was issued to her social security number you can choose to either include it all on her personal return or split it.  Since she has passed the IRS would be able to understand the difference.

2. Same thing for the annuity.  Since it is issued entirely to the estate you can put it all on the estate return or split it.  Maintain records showing the dates of the withdrawals if you choose to split it.

@Yueh1 

[Yueh1]

Thank you! This is helpful. I continued with a few more questions on a separate post, in which I followed others that have posted related questions.