Trusts & Estates

Trust & Estate Tax Preparation

You may find yourself unprepared to be thrust into the role of trustee or executor, especially during a difficult or stressful life event, like the death of a loved one. When you find yourself in this situation, our team is here to support you. We will walk you through the process of how tax laws apply to your situation. Our goal is to give you peace of mind as you handle the affairs of the trust or estate. Having an experienced professional on your side is vital in these situations because any errors that are made in preparing trust and estate tax returns can have a lasting impact on future generations.

Estate Tax Preparation

Typically, you will only be the executor or personal representative of an estate once or twice throughout your lifetime. Determining which tax filings are needed in this situation can be overwhelming as the way the estate is handled will greatly impact the heirs. We will help you through this tax filing process and support you as you handle the affairs of the estate or trust.

Large estates require a tax return to be filed listing all assets associated with the estate. These assets can include stocks, bank accounts, IRAs, real estate, pensions, annuities, and more. This is called Form 706 – Estate Tax Return. In some cases, the estate may also need to file a tax return that reports the income earned from the date of death to the date that the assets are distributed to the heirs of the estate. This is called Form 1041 – Income Tax Returns for Estates and Trusts. In some cases, the estate or trust will pay any taxes that are due. In other cases, the beneficiaries of the estate will be responsible for paying these taxes.

The estate is also required to prepare a final individual income tax return. This tax return reports any income earned from January 1st until the date of death. This process can be challenging as it is difficult to determine how exactly you should handle certain types of income on the final 1040 and 1041 tax forms. Our team will evaluate your unique situation and help you determine which filings apply to you, and accurately prepare your tax returns.

Working with Your Advisors

Teamwork is a critical component during this time. Beneficiaries, executors, attorneys and investment advisors all look to your tax advisor for fiduciary income tax and estate tax preparation and planning. We will work in collaboration with them to make this process as easy and painless as possible. Trusts and estates often come with complex tax issues, and there is no substitute for having an experienced professional on your side.

Ready to make an appointment?

Contact our office at (469) 567-3017 or fill out an appointment request form to speak with a member of our team and discuss our trusts and estates services, today!