Form 1041: Basic Trust & Estate Income Tax Preparation (Part 1) (Currently Unavailable)

Author: Klaralee R. Charlton

This course is part 1 of a two-part course on Form 1041 and the concepts involved in the federal taxation of trust and estates. Instructor Klaralee Charlton will help you understand the basic concepts involved in how trusts and estates are taxed. She will show you where the tax questions move from that of the decedent into that of the estate and any related trusts. With this course, you’ll learn the concepts and steps you’ll need to understand to complete Form 1041 and advise clients on the necessary steps to properly report the income of an estate or trust.

Publication Date: October 2020

Designed For
This course is designed for all CPAs, EAs, estate planners and financial planners who advise clients on tax issues related to estates and trusts.

Topics Covered

• What is Form 1041?
• When to Use a Form 1041
• Entities Using Form 1041
• Types of Trusts
• Requirements to File a Form 1041
• Terms of a Trust or Estate Plan
• Example: Estate/Trust Earns $100 Income
• Types of Estates
• Types of Trust Terms
• 2018 Income Tax Rate ” Trusts vs Individual
• Grantor Trust Returns
• Fiscal vs. Calendar Year
• I.R.C. § 645 Election
• Miscellaneous Selections
• Types of Deductions
• Income Distribution Deduction: Basics of Distributable Net Income
• I.R.C. § 663(b) Election
• IRC § 1014 Basis Adjustment: Schedule D Form 1041
• Estate Form 1041 Case Study: See Packet Materials for Tom Brown Estate

Learning Objectives

• Recognize what is Form 1041
• Identify when to use Form 1041
• Describe the types of trusts
• Recognize tax year options and due dates
• Identify how to combine the taxable trust and estaate
• Describe types of income and deductions
• Recognize income distribution deduction
• Recognize beneficiary of Schedule K-1

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Taxes (4 hours)

Program Prerequisites
None

Advance Preparation
None