USA Income in Respect of Decedent


Joined
Oct 16, 2019
Messages
2
Reaction score
0
Country
United States
I’m trying to confirm who takes what income on 2019 taxes (individuals or estate), what parts are Income in Respect of a Decedent, etc…

Timeline:
  • Grandma passed 1/9/19
  • Mom passed 1/19/19

Facts:
  • I’m executor of estate.
  • Mom’s will split her estate evenly to 3 kids. Relatively small estate, so no state or federal inheritance tax due.
  • Mom/Kid #3 had joint checking, which became Kid #3’s at Mom’s passing.

Income streams in question:
  • #1 – Mom’s pension payment (earned December) was paid on 1/31/19 to Kid #3’s checking account (formerly Mom/Kid #3 joint). But would have been 1/3 to each kid if part of estate. My guess: IRD, Kid #3 takes as regular 2019 income (and we settle up 1/3s later).
  • #2 – Dividend paid 2/1, Mom alive on 1/10 record date, paid to checking account solely in Mom’s name. My guess: IRD, Mom’s estate takes as estate income on 1041.
  • #3 – Dividend paid 2/1, Mom alive on 1/10 record date, paid to Kid #3’s checking account (formerly Mom/Kid #3 joint). But would have been 1/3 to each kid if part of estate. My guess: IRD, Kid #3 takes as regular 2019 income (and we settle up 1/3s later).
  • #4 – Annuity from Grandma (partially taxable, Mom sole beneficiary), paid to Mom’s estate checking account in March 2019. My guess: Estate takes taxable portion as estate income on 1041.
  • #5 – RMD from 403(b) paid to Kid #3’s checking account (formerly Mom/Kid #3 joint). I understand that the decedent’s calculated RMD must be taken by one or more of the beneficiaries. My guess: Kid #3 can take as ordinary 2019 income.

Thanks for your help.
 
Ad

Advertisements


Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question

Top