The Final 1040 and 1041 On-Demand Workshop
The job of a tax professional is multi-faceted and sometimes you are called to assist your clients with tax issues after the death of a loved one. This requires knowledge of Form 1040 and 1041. If you don’t know how to complete these forms and report trusts, you could be doing your clients a disservice.
This workshop will provide an in-depth study with examples of how to prepare the decedent’s final Form 1040 and 1041. It will also cover changes in estate and trust taxes and planning brought about by the Tax Cuts and Jobs Act. By the end, you’ll have a knowledge of trusts and estate income returns that may be required after the death of a taxpayer.
Upon completion of this course, you will be able to:
- Determine what items of income and deduction should be reported on the decedent’s final Form 1040 and the correct filing procedures for that return.
- Utilize a decedent’s net operating loss (NOL), capital loss carryovers, passive losses, and other tax attributes on the final Form 1040 to minimize tax.
- Take the necessary steps to assist the surviving family members in this stressful situation after the death of a taxpayer and at the creation of the estate.
- Advise the executor of the estate or trustee of the trust with information gathering and other duties and obligations of their role.
- Calculate distributable net income, fiduciary accounting income, and the income distribution deduction in compliance with both tax law and the governing document.
- Understand the basic types of trusts used in legacy planning, including their design, function and correct tax reporting both before and after the grantor’s death.
- Prepare a Form 1041 for a simple estate and what is required to treat a revocable trust as a part of the estate.
- Prepare Schedule K-1 to accurately report estate interest, dividend, capital gain, and miscellaneous income so the beneficiaries can accurately prepare their individual tax returns.
This course includes presentation slides and an online workshop recording.
Jaye Tritz, EA, CFP®