Distribution from estate-Where to put on tax return if no estate return filed

[nanellen]

Mother of taxpayer died in 2017, and received W-2 income from her employer. After her death 2 distributions were made to her son, her only heir. Both 1099's were issued under the SSN of the deceased.
No estate account was ever opened. One of the 1099's is dated 1/3/2018 and was received late in January although the 1099 is a 2017 1099. One of the 1099's looks like it is from her retirement account; the
other may be unused vacation pay. Should these be reported on the tax return of the deceased? What should be done with the distribution received in 2018?

[taxea]

If her SSN is recorded on the 1099 then it is reported on her 1041. If it then is distributed from the estate to the son it is either untaxable inheritance or you otherwise follow the rules for investment income originally to her.

[nanellen]

Distribution from estate-where to put on tax return if no estate return filed

Thank you, but no 1041 will be filed. One of the 1099's is marked Beneficiary/Estate payments in box 3, but it is from her employer. The other one is a 1099R with taxes withheld. Not an IRA I am inclined to
include this one with her final 1040 but the beneficiary has no idea what the one marked Beneficiary payments represents.

[Burke]

If the deceased's SSN is on both forms, and taxes were withheld, then the only way you are going to get a credit for them is to report the income on the final 1040. If you do that, file Form 1310 with son as PR and/or executor so that he receives the refund if there is one. The funds should have been paid to the estate and/or beneficiary/heir, and he is the one who should report the income. The IRS will not transfer the withholding to the son's SSN, and good luck getting the custodian(s) to change the 1099R. You can back it out with a negative entry on Line 21 of the final 1040 so that it works out, and then report on the son's return.

[nanellen]

Distribution from estate Where to put if no estate return filed

Thanks for the help. I will take your advice

[nanellen]

Distribution from estate-where to put on tax return if no estate return filed

One last question.. One of the distributions has no withholding and is dated 1/3/18 on the 2107 Misc. Can this go on a 2018 return for the heir? Or is it possible that we could file a 2018 return for the decedent?
or should we just be done with it in 2017? Thanks for any help you can give me.

[Burke]

I have re-read your posts a couple of times and I think what you are saying is that a 1099MISC was received for 2017 for payments from the employer with no withholding. Even though Box 3 says Beneficiary/Estate payments it has the deceased's SSN on it. (Although "dated" 1/3/18?) Did you mean postmarked? Anyway, it apparently has been reported to the IRS for 2017 and needs to be reported correctly by the recipient (son?) Again, I would treat this same as the other one and report, then back out on Line 21, then report on son's return.