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New Member
posted Feb 6, 2023 9:29:10 AM

We received a Form 8971 in 2022 for a cash inheritance. Do we claim this on our 2022 return?

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1 Best answer
Level 15
Feb 6, 2023 9:37:44 AM

That form is filed along with a Form 706 (estate tax return) and is used to inform beneficiaries of the value of the property that was distributed.

 

Check with the executor of the estate; there may be no tax liability on your part. If there is, you should be receiving a K-1 (1041) to report your share of the income, gain, deductions, et al.

1 Replies
Level 15
Feb 6, 2023 9:37:44 AM

That form is filed along with a Form 706 (estate tax return) and is used to inform beneficiaries of the value of the property that was distributed.

 

Check with the executor of the estate; there may be no tax liability on your part. If there is, you should be receiving a K-1 (1041) to report your share of the income, gain, deductions, et al.