The income is interest on a checking account and rental income form 2 mobile home lots located on the land which was over $600 requiring filing.   This has not been distributed.  The tax return is from 05/01/2020 to 4/30/2021. The deceased died  the end of May.

Only proceeds distributed was the land sale proceeds and that was because one got title to part of the land for her share instead of cash.  The interest, rental income, and cash in bank has not been distributed.  When I did the return with no K-1's, there was no tax because the income after the expenses was less than $600.00.  When I do it with the K-1's there is taxable income on the K-1 for the beneficiaries because there is no $600.00 exclusion.