Estate Tax

Estate tax - surviving spouse

Asked Sunday, September 03, 2000 by an anonymous user

CPA Answer:

You are liable for your husband's share of income tax on a jointly filed return in the year of his death. To avoid this tax liability, do not file jointly. If you already filed, and the due date is past, you cannot revoke your joint return unless an executor or administrator is appointed after the filing of the return.
These rules are complex. Speak to your local CPA about the Estate and Individual tax return requirements.
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Estate Tax

Income earned after spouse dies

Asked Sunday, September 03, 2000 by an anonymous user

CPA Answer:

This is referred to as income in respect to the decedent and is reported on the estate's income tax return, Form 1041, or the beneficiary's tax return.
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Estate Tax

Estate Tax - custodian accounts

Asked Sunday, September 03, 2000 by an anonymous user

CPA Answer:

The value of a custodian account is included in your taxable estate, if you die while acting as a custodian.
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Divorce & Marriage Issues

Legal fees associated with divorce

Asked Friday, August 18, 2000 by an anonymous user

CPA Answer:

Legal fees for the divorce itself and the property settlement are not deducible. However, legal fees to collect taxable income such as alimony are deductible as miscellaneous itemized deductions on Form 1040, Schedule A.
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