Attorney Thomas B. Burton, of Burton Law LLC, in Eau Claire, Wisconsin is joined by Attorney Matthew Underwood, of Underwood Legal, LLC in Madison, Wisconsin and together they answer a reader's question about what the due date is for a K-1 form for an irrevocable trust. Attorneys Underwood and Burton discuss this question and discuss the various factors that may influence the date when the trust tax return is due and discuss how this will influence when this K-1 form will be sent to beneficiary.
Subscribe to Burton Law LLC on YouTube
Transcript of Video: What is the K-1 Form Due Date for an Irrevocable Trust?
Okay welcome back today I'm joined again
by Attorney Matthew Underwood from
Madison Matt thanks for joining us
thanks for having me Tom and Matt
another great question designed just for
you this question comes from Madison
Wisconsin and the reader asks the
following what is the k1 form due date
I receive income from a trust and i am
supposed to receive a k1 form is there
a date that form is due to be issued or
can the trustee issue it at any time she
wishes? Yeah that's a good question so
the k1 form that's a form that
beneficiaries received to show what
their tax liability is and you might be
a beneficiary of a trust you might be a
beneficiary of an estate but that's the
way that that estate or trust is going
to pass off that that tax liability to
the beneficiaries so that the actual due
date is going to depend on a few
different things first of all it depends
on whether the estate is on a calendar
year or on a fiscal year so if the
estate's on a calendar year that's where
we typically have that April 15th
deadline that everyone's so used to so
if the state's on a calendar year you
may not be receiving that k1 until that
tax return due date of April 15th and if
you feel like that we're getting close
to that deadline you haven't received
that k1 form from the trustee yet you
may need to file an extension for your
own taxes but you might want to just
contact that trustee and you know ask
them what the statuses or when they
might be getting those k1 forms to you
so again it's important to know whether
it's a fiscal or calendar year estate or
trust and then you can know what that
that k1 due date is anything that you
had had on that time or that you've seen
in your practice well Matt I was just
thinking this year our reader is in luck
because they extended the due date to
July 15
I believe and normally it's always April
15th or the 16th or whatever the Monday
happens to be but you if in fact you're
supposed to file that you need that k1
this year you still have roughly a month
and a half here to contact the trustee
and get the answer about the due date
for the trust return because again if
like matt said if the Trust isn't filing
doesn't have to file by what was
normally the April 15th date it may be
that you don't need it this year for
your personal tax return either so I
think what you said is exactly correct
you got to talk to the trustee and figure
out when the due date is for that trust
return and Matt I have seen confusion
with that in my practice because it all
it depends on the decisions made around
the time the person died right so if
they died late in the year the calendar
year it's possible that the trustee and
the attorney decided to opt out of
calendar year and essentially put out
filing the return for more like 16
months so I think what you said is
correct contact the trustee and get that
date because you may be waiting around
for a k1 that isn't going to come even
by July 15 yeah that's right I think you
know one of the important parts of this
or dealing with any sort of estate
especially when we start talking about
estate and Trust tax returns is that you
have qualified professionals that are
looking at that and helping out with
that it things go a lot smoother when
things are done right so I would
encourage you to work with your estate
attorney work with your CPA and make
sure that those filings are done right
and done right the first time
yes on that note I totally agree so
thank you to the reader for the question
and thank you Matt for joining us thanks
for having me Tom.
© 2020 Burton Law LLC. All Rights Reserved.
Transcript and captions provided for ease of access for the hearing impaired.
For questions about this topic, or to suggest a topic for a future blog post, please contact the office.