IRS instructions indicate that the pre and post death activity should be reported on the same 1041 with both the grantor trust and complex trust boxes checked. Need the pre-death activity to go to a grantor letter. Need the post death activity to report as a complex trust. A prior response in this forum indicated two short year 1041s are needed but I don't think this is correct. Can Lacerte accommodate both a grantor and complex trust on the same 1041? If so, I can't figure out how to do it. Any guidance?
I only have one tax id for the trust and the full year activity from the broker was reported under this tax id on a 1099. Trust has filed as a grantor trust in prior years. If I have to do two short year returns do I mark the grantor trust final and the complex trust as initial? Since I'll be using the same tax id for both I assume I will have to paper file one of the tax returns?
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