filing a zero estate tax return(?)

[schirallicpa]

Client passed away during 2016.  An estate was established, but I am not finding that any income came into the estate during 2016.  Should a return be filed?

[rscpa]

If you applied for an SS4 number, than need to file.

[SaraEA]

I wouldn't file with no income.  IRS computer matching will turn up zeros so no tax will be due and no letter will arrive.  State rules may be different.  You might want to file a 706 to elect portability if there is a spouse and it looks like he or she will exceed the exemption amount.

[Terry D EA]

I'm not sure here but if an EIN was applied for the IRS may very well be looking for a 1041. Just sayin 

[BulldogTom]

On 8/30/2017 at 11:35 AM, schirallicpa said:

Client passed away during 2016.  An estate was established, but I am not finding that any income came into the estate during 2016.  Should a return be filed?

What are the assets of the estate?  Could any of them throw off income (interest, dividends, rents, etc) that the client has not told you about?  

I take the position that you file the return to let the IRS know that you know that they know that there is an entity out there that may or may not have a filing requirement.

Tom
Newark, CA (Soon to be Modesto, CA)

[Abby Normal]

Decedent's Estate

The fiduciary (or one of the joint fiduciaries) must file Form 1041 for a domestic estate that has:

1. Gross income for the tax year of $600 or more, or

2. A beneficiary who is a nonresident alien.

So you don't have to file, but if it's a final return, you'll want to file to pass out the excess expenses, etc.