2019 Estate return filing - help

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Estate tax filing - which all goes to my mother. Do I just file a K-1 so she pays the tax on distribution? Distribution to her in 2020, so she pays tax when she files next year?

TurboTax Business Windows

Anonymous_Answer

Level 15

I asked Turbotax to create a K-1 for her, it is blank. So, I need to input all the boxes with all the 1099 information we have to report on her K-1? Correct?

These answers are giving me so much relief tonight. I was starting to panic.

Thanks goodness, I have more time, until September!

@taxES4folks wrote:

I asked Turbotax to create a K-1 for her, it is blank. So, I need to input all the boxes with all the 1099 information we have to report on her K-1? Correct?

Assuming you are referring to preparing a 1041, then that is correct; you need to enter the 1099 information into TurboTax Business (obviously, the 1041 module).

Anonymous_

Level 15

Did the estate's fiscal year end in 2020? If so, then any income passed through to your mother from the estate will be reported on her 2020 individual income tax return.

taxES4folksAuthor

Level 2

Yes. Estate balance will be distributed to her this week and close July 2020. Her husband died in 2019. We have her two 2019 Estate tax documents (a 1099 and 1099-R) and all accrued INT/DIV for 2020 (which no tax document has been created yet). Assume I have to file/create something by tomorrow. Using the TurboTax business and it seems, I should create a K-1 to her.

Is the K-1 all that needs to be issued or will Turbotax still create a form for her to sign and submit for Federal reporting?

Anonymous_

Level 15

@taxES4folks wrote:
Is the K-1 all that needs to be issued or will Turbotax still create a form for her to sign and submit for Federal reporting?

The K-1 is all that needs to be issued for her to report any income, gain, etc., that was passed through from the estate to her; she does not need to sign anything with respect to the 1041.

Note that estate income tax returns are due on the 15th day of the 4th month after the close of the estate's tax year.