It is a joint grantor living trust set up for a husband and wife.  They transferred their 20 acre farmland in Colorado where their main residence is, to a joint Colorado living trust in 2018. The cost basis transferred into the trust was $100K.  

In 2019, the husband dies, 50% of the real property had a cost basis step up, at an appraised FMV of $1.1M.  The wife remains to be the living grantor and the trustee, and she decided to sell the house without any tax planning, subsequent to the husband's death, and move to Florida in 2021. 

There were no distribution made after the sale.  The trust bank account hold the proceeds, and the Wife terminated CO trust and transferred everything into a successor Florida trust.  In my understanding with the trust lawyer, all transactions were within the trust but the husband's 50% cost basis had a step up before the sale.  

Q1: Do I need to file a Form 1041 for the Colorado trust (which remain a revocable living trust with the late husband's SSN as the EIN) to report the sale of the house, or this sale of house can be reported on the Wife's individual income tax return? In either case, can I still use Form 8971 to report the values to the IRS?  

Q2: Does the asset transferred from Colorado trust to Florida successor trust trigger any reporting requirement?  

Much appreciated!!