I am trying to prepare these forms for my Mother's small estate and for the life of me I can't follow the instructions. There was $15,331.03 in interest income which I enter on A 1, $149.73 in short term capital gains which I enter on line A 4 and the only expense was attorney fee in the amount of $480 which goes on A 14. That is the total of the income for this estate, this is the first and final return. I do fine through line A 17 $15,00.76.
Now comes the income distribution to two beneficiaries, Schedule B.
Line B 1 is A 17. No tax exempt interest. B 3 & B 4 appears to be the
same as A 4 (enter it twice?) = $149.73. . B 6 is ($149.73), a
When I add lines B 1 -6 I am including the capital gains twice times.
Once it is included in the amount in B 1, then again on B 3, B 4 and B
6 cancel each other out. ????
There is a total of $15,00.76 distributed.. the whole amount. What am
I missing for Schedule B?
Now I look at K-1. There are two equal beneficiaries. I deduce that
half of A 1 from 1041 should be entered on line 1 Part III, half of A
4 on line 3. Where do I report the distribution of the Attorney fee
and what happens with the deduction on line 20 of the 1041?
RANT: I have read the instruction for these forms and can't figure out
what to do. I visited the IRS office in Seattle, they have no
training on these forms. At their direction I called the IRS 800
number and they refused to help me walk through this. If their staff
can't give guidance what on earth do they expect an ordinary taxpayer
trying to do the right thing to do... this shouldn't be brain surgery.
- posted 11 years ago
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