PA 1041 K1 question

[schirallicpa]

The Federal K-1 shows only 2900 of dividend income.  

The PA K-1 shows on line 4 income of/from estates or trusts, 94000.  Line 6 shows PA nonresident tax withheld of 2895.  No mention of dividends.    

Yes - this was a PA estate and my client is the only beneficiary.  

I expected the K-1s to be similar.  Can anyone enlighten me on possible difference before I contact this attorney who has already dragged his feet until today.

 

 

[jklcpa]

I don't have the PA k-1 in front of me at the moment, but IIRC that line is for gains from dispositions of property.  Unless there were very significant investments, I'm guessing it might be the sale of a house.

If it is from the sale of a house, from this page from PA DOR:

https://www.revenue.pa.gov/FormsandPublications/FormsforIndividuals/PIT/Documents/rev-625.pdf

 

Quote

What if one of the homeowners die?

The authorized representative of a decedent may not claim this exclusion on the final PA tax return of an otherwise qualifying decedent, unless the decedent closed the sale before death. The decedent’s estate or trust may not exclude the gain on the sale of the decedent’s principal residence.

 

[schirallicpa]

And it may very well be from the sale of an asset.  (I think the stocks that create the dividend income.)  But there is no sale /schedule D info on the Federal.  Hence my question.

 

[schirallicpa]

I would also think that the PA K-1 would show the dividends.  

 

[schirallicpa]

Ok - I get it .  The estate returns on the PA side don't reflect entirely how the Fed taxes stuff.  So the Estate took the Fed tax on the capital gain, but PA has to push it thru to individual.  There - answered my own question. 

Love this forum.