Where to Report Taxable Income
|
| Tax Return |
Income to report |
Decedent's Final
Form 1040 |
Income received prior
to death for a cash basis taxpayer.
Income accrued prior to death for an accrual basis taxpayer. |
Estate Income
Tax Return
Form 1041 |
Income earned on assets
held by the estate.
Capital gains or losses on assets sold by the estate.
Income in respect of the decedent received by
the estate. |
Beneficiary's
Form 1040 |
Income earned on assets
received directly from the decedent.
Income earned on assets after distribution
from the estate.
Capital gains or losses on assets sold by the beneficiary whether
received directly from the decedent or distributed from the estate.
Income in respect of the decedent received by the beneficiary.
Estate income taxable to the beneficiary reported by the estate on
schedule K-1 of Form 1041. |
