In 2008, the AICPA submitted a draft Form 1041
When preparing a Form 1041
for a client's trust, consider whether the trust is optimally structured for income tax purposes, both state and federal.
The act directs the IRS to modify its regulations to allow a maximum extension of 5 1/2 months on Form 1041
Five and a half months for trusts filing Form 1041
, or Sept.
The survey also reports the average fees for preparing other Internal Revenue Service tax forms, including $236 for a Form 1040 Schedule C (profit or loss from business); $524 for a Form 1065 (partnership); $695 for a Form 1120 (corporation); $660 for a Form 1120S (S corporation); $396 for a Form 1041
(fiduciary); $566 for a Form 990 (tax exempt); and $61 for a Form 940 (Federal unemployment).
3] Form 1041
is the regular income tax return filed for estates and
As such, the trust is now a separate tax entity and will file a Form 1041
If it was created by a third party, such as a grandparent who has since passed away, then the special needs trust is a separate taxable entity known as a non-grantor trust and it would have to obtain its own taxpayer identification number and file its own federal income tax return, Form 1041
Schedule K-1 of Form 1041
(Beneficiary's Share of Income, Deductions, Credits, etc.
Where do you and/or your clients go for help when seeking information for filing a Form 1041
return for an estate or trust?
The tax adviser is left with filing a Form 1041
For instructions on what filings need to be made for a later appointed executor, see the instructions for Form 1041