Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (13) | Ignore Thread Prev | Next
Author: TMFPMarti Big funky green star, 20000 posts Home Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121219  
Subject: Re: Tax filing questions - decedant Date: 3/26/2008 12:25 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 6
My condolences on such loss crammed into such a short time. As (bad) luck would have it, I went through the same thing in 2001-02. Right up front I'll suggest that if you feel the need, file for an extension of 2007. I sure did.

You wrote:

I am filing my parents taxes for 2007, using Turbotax.

Dad passed away in 8/2007, so he is marked as decedent; Mom filing as surviving spouse.


Since these are specific terms with consequences, I'll nitpick. For 2007 their filing status is Married, filing jointly. For 2008 your mother's filing status will be Single.

Dad's RMD from IRA was NOT made in 2007 (scheduled for 12/07); Mom elected to take his IRA as her own, so they overrode the named owner of the account. She took her minimum distribution (9/07) as the amount determined 12/31/06 based on her age and the balance of the account. The Bank has told me that since the account was retitled in advance of the distribution date, that no distribution is necessary.

I'm not clear as to exactly what you're saying. Since your mother elected to treat the IRA as her own, for 2007 she can choose between a distribution based on your father's life expectancy at the beginning of the year or her own. A distribution is required, but not a double. It sounds like everything was OK here. See the discussion on page 36 of Publication 590.

Mom was hospitalized at the time that I was working on her taxes; I have her power of attorney.I was searching for 3 errant 1099s in order to complete and submit the filing.

I now have all of the information to file, but Mom passed unexpectedly last week. I have updated that fact in TurboTax, and it is now no longer reverting to requiring Dad's RMD for 2007 to be input. (FWIW, I am also Executrix of her estate)


You must not confuse TurboTax. Despite the ads, it's a really stupid, but accurate and neat, adding machine / typewriter. You're dealing with the 2007 return, and contrary to reality, your mother is still alive. Reverse her date of death input.

I am executrix of the will. I was planning to efile her returns for simplicity purposes. Can I do so, or must I send in paper based forms with death certificates, surrogates certificates, etc?

Maybe one of the pros who deals with the intricacies of e-file will know for sure, but I think you qualify for e-filing. TT will tell you if you don't.

Good luck, and don't hesitate to come back for more help.

Phil
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (13) | Ignore Thread Prev | Next

Announcements

Disclaimer:
In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Managing Your Wealth
Our own TMFHockeypop from Rule Your Retirement fame on the TV show Managing Your Wealth.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Value Hounds

Clorox Isn't Cleaning Up
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement