I am preparing a 1041 with, among other things, $7800 Social Security received after date of death. How do I treat this on the 1041? Do I compute how much would have been taxable on the final 1040 if it had been received before death, and use that figure for other taxable income? If so, how do I treat the non-taxable portion? Would expenses (attorney fees, tax prep, fiduciary expense) be allocated between taxable and non-taxable income? Basically, the SS is the only income; there is a loss on the sale of the residence of $6837.
This is the first and final 1041, if that has any bearing on anything.
Thanks.
Barbara
This is the first and final 1041, if that has any bearing on anything.
Thanks.
Barbara
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