How do I file a return for a deceased Turbotax user (joint return) that passed away in 2021. Do I need to create a new turbotax account for this?

[whitepost2020]

Both husband and wife passed away in 2021.  I completed last couple of returns for them using their Turbotax account.

[ThomasM125]

For the most part, you file the tax return the same way in TurboTax as you did in the past, accept that you indicate in the personal information section that each taxpayer is deceased. 

If there is a refund involved, you will need to file form 1310 and have the representative of the deceased sign it and mail the tax return in, in order for the refund to be issued.

Here are some links you may find helpful:

Refund due deceased taxpayer

Deceased person tax filing

[Opus 17 · Accepted solution]

I have to make some assumptions here:

1. The taxpayers filed jointly,

2. You were authorized to assist them in the past

3. you know the login name and password,

4. and you are their authorized personal representative or executor of their estate.

In that case, you can use the existing Turbotax online account to prepare their personal tax return for 2021.  There is a checkbox for each person for "this person died during 2021" in their personal info section.

However, their income is only what was paid to them up to the date of their deaths.  Income that was paid after death would be reported on a form 1041 Estate tax return (if the income is enough to trigger a return).  To prepare a 1041, you need Turbotax Business, which is only available as a CD or download to install on your own PC, it is not available for Mac or online.  Each estate would also need its own separate tax ID number.  It is also possible that income paid to the estate of the spouse who died first passes to the second spouse, so that an estate tax return would only be required for income received after the second spouse died.  This is an area where you might benefit from legal assistance.

If these persons are expecting a tax refund, you need to include form 1310. This is a form to get their refund deposited into your bank account, and requires that you provide proof, in the form of a letter from the court or other authorization, that you are their authorized representative.  I believe you can e-file the return then mail form 1310 to the IRS separately.  If not, you will have to print and mail the entire tax return instead of e-filing. 

[whitepost2020]

Thanks for your detailed answer!  Yes, your assumptions are correct, although my wife is actually the Executor/Trustee for her parents and I'm her husband who does the taxes.  We did get a Revocable (Living)Trust established for her parents a couple years prior and all of their funds flowed into this upon the wife's death.  The husband died first and then his wife a few months later so I think all of his income and insurance payments went to her first with no income being generated after she died, with the exception of some bank account interest that accrued before all of the remaining funds were distributed out of the Trust account between the designated survivors.  I'm not sure if this interest would be enough to require a 1041 but it was probably several hundred dollars.  I've always done my own taxes but may reconsider that in this case although your input did clarify some things for me.

[Critter-3]

First if the estate had $600 or more of income you must get an estate EIN to file a 1041   OR  if the trust survived then it will file the 1041.

And the joint return will have to be mailed in ... it cannot be efiled using a DIY program.

[whitepost2020]

Thanks for the further input.  I just checked and it appears that they had $634 of dividend/interest on their trust bank account for 2021 so it appears a 1041 will be necessary from the Trust which still technically survives until every last dollar is disbursed from it I presume.  Their house was sold prior to wife's death so this bank account with some residual funds in it is really the only thing left of the Trust.  I recall we had to get an EIN to establish the trust account with the bank so that is taken care of.  They did not really have complicated finances so perhaps I'll take a look at doing this myself although doing it all via paper may change my mind!  Thanks again...

[Critter-3]

You can still use a DIY program however it cannot be efiled.