Annuity was paid to Estate under Estate's TIN/EIN. Annuity 1099-R (code 4) had Fed tax w/h. Can the Annuity taxable amount be distribute to the Heirs by way of K-1 to each Heir? Am I correct that the Annuity can be distributed to the Heirs and the Estate tax return deducts the distribution, the Executor then will receive the 1099-R Fed w/h by way of Estate Fed income tax refund?
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Yes, its a final 1041 Estate tax return
Yes, its a final 1041 Estate tax returnComment
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"You said it, they'll never know the difference. Come on, we'll paint our way out!" - Moe Howard
"That's enough! When you didn't know what you were talking about, you really had something! [to Curly]" -Moe HowardComment
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"You said it, they'll never know the difference. Come on, we'll paint our way out!" - Moe Howard
"That's enough! When you didn't know what you were talking about, you really had something! [to Curly]" -Moe HowardComment
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It can and often is. Since the taxable annuity has to come out first when distributions are made, it is reported on beneficiary's K-1, and is taxable to bene. Estate shows as income on 1041 and shows the federal and/or state income taxes withheld. Refunds, if there are any, come into estate and become part of the estate assets. The only items that can ONLY flow through on the final 1041 are excess administrative expenses and capital losses.Last edited by Burke; 04-06-2016, 07:35 PM.Comment
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