Is 1041 estate return needed

[Janitor Bob]

Taxpayer died in June 2007...Gross income for year of $13,890 from farm rental, Social security, and interest. Taxpayer has no assets as all was transferred to son's name shortly after her death.

If I file her a normal 1040 as I have in past years, she owes IRS $61.00.

How do I know If I need to file a 1041 estate return? The attorneys did not form an estate...they stated to " just file as if she was still alive".

[barosser]

I would file an estate if there was any income earned or received after the date of death of TP

Question would be who received the farm rental income, her (estate) or son who probably got the farm shortly after death.

[Janitor Bob]

I would file an estate if there was any income earned or received after the date of death of TP

Question would be who received the farm rental income, her (estate) or son who probably got the farm shortly after death.

Farm Rental income went to son, but I nomineed part of it to deceased mother for her portion earned prior to death

[barosser]

I would not do an estate with those circumstances.

[Gail in Virginia]

I really think it is a fiduciary return you are thinking about instead of an estate return, and if the income that would be moved to the 1041 is less than $600, I don't believe you need to file. It would include all income after her death that was in her name - interest, dividends, IRA distributions, etc.

[BobinNJ]

I really think it is a fiduciary return you are thinking about instead of an estate return, and if the income that would be moved to the 1041 is less than $600, I don't believe you need to file. It would include all income after her death that was in her name - interest, dividends, IRA distributions, etc.

I believe the income threshold on 1041 is $400 gross income.

Bob

[jklcpa]

The threshold for filing is gross income of $600 or more.

[Janitor Bob]

The threshold for filing is gross income of $600 or more.

I am confused by "Fiduciary" return...what do you mean? Is this just a normal 1040 that would be signed by the son?

Deceased mother's had no income after death and..AGI for year of $13,890 and taxable income of $3,289 and amount due IRS of $6.00.

Can I just do a 1040, have son sign and send a check for $6.00?

[jklcpa]

JB, the 1040 should report the mother's income up through her date of death.

Then, an estate can have 2 types of filings for federal purposes. One is Form 706 if the estate ASSETS are high enough to be taxable. The second is the Form 1041 if the estate had INCOME that was collected after the date of death. The 1041 is also referred to as "fiduciary" return.

[Linda Mathey]

If the farm transferred right after her death thru TOD designation then all income earned after date of transfer belongs on son's return. There would be no Form 1041 since her estate had no income after her death.

[Janitor Bob]

If the farm transferred right after her death thru TOD designation then all income earned after date of transfer belongs on son's return. There would be no Form 1041 since her estate had no income after her death.

I understand now....Thanks