HOW TO FILE A FINAL TAX RETURN FOR SOMEONE WHO HAS PASSED AWAY

When a person dies, their surviving spouse or representative files their final tax return. The surviving spouse or representative will report the person's death on the final tax return. The IRS does not require any additional notification of the death.

Usually, the representative filing the final tax return is named in the person's will or appointed by a court. Sometimes when there isn't a surviving spouse or appointed representative, a personal representative will file the final return.

Here are some things to know about filing the final return:

• The IRS considers a person to have been married for the entire year if they do not remarry during the year that their spouse or partner passed away.

• The surviving spouse may file as married filing jointly or married filing separately.

• The final return is due by the regular April tax date unless the surviving spouse or representative has an extension to file. Who should sign the return? 

When e-filing, the surviving spouse or representative should follow the software's instructions for the proper signature and notation requirements. Along the top of paper returns, the filer should write the term deceased, the deceased person's name, and the date of death.

 Here's who should sign the return:

• The return must be signed by any appointed representative. If it is a joint return, the surviving spouse must sign it as well.

• If there is no appointed representative, the surviving spouse filing a joint return should sign the form and write "filing as surviving spouse" in the signature area.

• If there's no appointed representative and there is no surviving spouse, the person in charge of the deceased person's property must file and sign the return as "personal representative."

Other documents to include:

• Representatives appointed by the court should include a copy of the court document confirming their appointment.

• To claim a refund due to a deceased taxpayer, representatives who are not court-appointed must provide Form 1310, Statement of Person Claiming Refund Due. This paperwork is not required for surviving spouses or court-appointed representatives.

The IRS doesn't need a copy of the death certificate or other proof of death.

If tax is due, the filer should include payment with the return or visit https://www.irs.gov/payments for other payment options. If they can't pay the amount due immediately, they may qualify for a payment plan or installment agreement.

Qualifying widow or widower:

Surviving spouses with dependent children may be able to file as a Qualifying Widow(er) for two years after their spouse's death. This filing status allows them to use joint return tax rates and the highest standard deduction amount if they don't itemize deductions. 

This document is designed for general information only. The information presented on this document should not be construed to be formal legal or tax advice nor the formation of a lawyer/client relationship. ⚖️

For more information on this and other topics, please contact Kevin via any of the channels listed below:📧kevin@kmckernan.com or 📞718-317-5007