K-1 form
My Aunt died earlier this year. She was not married and had no children, so the nieces and nephews (4 of us) were left to deal with her estate. It was not very big, but she did own a townhome that we sold. We hired a lawyer and went through probate. My sister was appointed to handle the paperwork. The lawyer told her that she had to provide K-1 forms for those of us that received a payment from the estate. We each got about $40,000. Does this mean we have to pay taxes on this money?
Terry Says
That’s ridiculous. A K-1 is a form that reports distributions from a partnership. Did she own tghe house in a partnership with all of her heirs? If not, there is no tax on an inheritance and no forms to report payments from an estate.
Either you failed to inform me of something important or this lawyer has no idea what she is doing! Please feel free to show this to the attorney, and I will reserve judgment until I hear her side of the story via your next post onmy blog!
