When are Executor Fees reported?

[RMClark55]

Should Executor fees be reported as other income on Form 1040 the year they were actually paid?  It's time to file 2023 form 1040 but the Executor fees for a person who passed away in 2023 will not be paid until the middle of 2024.  Should the fees then be included in 2024 income or 2023?
Thank you

[Anonymous_]

The fees would be deductible in the tax year they are paid but only on Form 1041.

See https://www.irs.gov/instructions/i1041#en_US_2023_publink1000286136

[RMClark55]

Thanks for your reply.  I don't think I did a good job explaining.  I was asking about the Executor reporting their paid fees for the administration of an estate.  That income is reported by them on their Form 1040.  Do they report the fees as income in the year they were actually paid or the year the decedent passed away.  From your other answer I believe the answer is if the Executor Fees were paid to them in calendar year 2024 they would report them as income on their 2024 Form 1040?  Thanks again.

[Anonymous_]

OK, yes, then that would be reported as other income (miscellaneous income not subject to self-employment tax) in the tax year in which it is actually (or constructively) received  (2024 in this instance).

[Valhalla14701]

So on this subject. I am Co-Executor of my Fathers Estate which I received Executor Commissions. Do I receive a form from the Attorneys office for filing? Like a Misc. form? And where in Turbo Tax do I enter the information?

[MonikaK1]

Depending on the amount, yes, you could expect to receive an information return such as a 1099-MISC.

All income is taxable unless specifically excluded by law.

If you received limited-time payments for performing services as an executor, the income is taxable but you can report it as income not received in the course of a business so that it is not subject to self-employment tax in addition to income tax.

To report the income as other than regular or recurring self-employment, you can enter the amount under Other Reportable Income. In TurboTax Online:

1. Go to Wages and Income
2. Scroll down to Less Common Income
3. Go to Miscellaneous Income
4. Select Other Reportable Income and follow the prompts. Enter a description of the reason for the payment.