Estate's 1041 Fiscal Year Begins?

[GraceNY]

Taxpayer died on 02/28/2015.  Fiscal Year begins on the date of death 02/28/2015?

Which makes the longest fiscal year end date 01/31/2016? 

Thanks.

Grace

[SaraEA]

Exactly right.  First return will be due May 15, 2016.

[Abby Normal]

You might be better off using calendar year because the 1099s are calendar year. I always default to calendar year at first and switch to fiscal year if it works out better.

[Catherine]

I also prefer using a calendar year if at all possible.  However, if it's likely things will wrap up in less than a year, sometimes fiscal works best.  In your instance, fiscal vs calendar is only offset by a month so unless there are very unusual circumstances, go for the calendar year.

[DANRVAN]

Calendar year can be a powerfull tool for timing expenses to income. Also keep in mind the option to elect accrual method of accounting.

Edited October 9, 2015 by DANRVAN