Estate and Trust Preparation
“But, in this world, nothing is certain except death and taxes,” –Benjamin Franklin.
Death and taxes, the two constants of life. Losing a loved one is never easy but the process of completing their final tax obligations doesn’t have to add to that stress. Whenever we are faced with the death of one of our clients we begin the journey with a complementary meeting with their personal representative or executor/executrix (usually a family member). We discuss the requirements needed to file their final 1040 individual return and discuss the need for filing a federal Form 706 estate return or Form 1041 estate income return. We’ll outline the timeline for completion of those returns so that they have a better understanding of the length of time it takes to complete everything – often the biggest stress point for families.
Estate preparation doesn’t have to start though when a client dies though. We often talk to clients about what their final wishes are and strategizes ways to make that outcome a reality. Whether it be gifting strategizes, IRA conversions, recommendations for estate attorneys to prepare wills and testaments, or even point them in the right direction to create a “What Happens If I Get Hit By A Bus” plan, we want our clients to have the peace of mind that their loved ones will be taken care off.
With trust tax returns we’re all about balancing compliance with the fiduciary’s responsibility to manage assets effectively for beneficiaries. We begin by thoroughly reviewing the estate or trust’s financial details, including income, distributions, and deductible expenses, to ensure accurate reporting on the 1041 tax form. We know how important it is for fiduciaries to fulfill their obligations while maintaining compliance with tax regulations, and we are here to offer guidance and support.