How does a tax return for a deceased couple work when both passed in the same year?

3 Thank you for the information. What about their medical expenses? They had quite a lot in their final months. Can those still be deducted? And do I need to get some kind of court document to prove I'm allowed to file for them or can anyone in the family do it?

12 Medical expenses are still deductible on their final return, subject to the normal 7.5% of AGI threshold. Those can be significant deductions in a situation like this, so definitely gather all those receipts. Regarding authorization, ideally you should be the executor or personal representative of the estate as appointed in their will or by the court. If there's no formal appointment, the IRS generally accepts a close family member handling the return, but having some documentation (like a death certificate and proof of your relationship) is helpful. If there's significant assets or complications, getting formal authorization through probate court might be necessary.

15 Does it actually help with the procedural stuff? Like does it tell you what court forms you need for becoming an executor or whatever? I'm in a similar boat but haven't even started the probate process.

8 I'm skeptical about these tax tools. How does it handle state-specific requirements? Some states have different rules for deceased taxpayers, and I've found most software doesn't catch these nuances.

7 It does help with procedural requirements by providing checklists specific to your situation. It won't complete court forms for you, but it gives detailed guidance on what needs to be filed where and when, which was super helpful when I was overwhelmed with everything. Regarding state-specific requirements, that was actually one of the most valuable features for me. It identified several California-specific rules that applied to my parents' situation that TurboTax completely missed. The tool specifically asks about the state and tailors its analysis based on both federal and state-specific deceased taxpayer provisions.

10 Wait, how does this actually work? Does it just keep calling for you or something? The IRS phone system is absolutely infuriating but I'm skeptical anything can actually get through.

8 Sounds like a scam honestly. Why would I pay someone else to call the IRS for me? And why would they be any more successful than I would be directly? The IRS systems are broken by design.

4 It works by using their system to navigate the complex IRS phone tree and constantly redial when there are disconnects. They essentially wait in the queue for you and only call you when they've reached a human representative. I was skeptical too initially. I'm not affiliated with them in any way, just sharing what worked for me. The reason they're more successful is they have algorithms that know exactly when to call for shortest wait times and which menu options work best for specific departments. After wasting 3 days trying myself and getting disconnected repeatedly, the time saved was absolutely worth it to me. You're not paying to talk to the IRS - you're paying to skip the frustrating wait and disconnects.

5 Do you know if medical expenses paid by the estate after death can still be claimed on the final 1040? I've heard conflicting information about this.

9 Medical expenses paid within one year after death can be treated as if they were paid at the time of death, so yes, they can be claimed on the final 1040. This is mentioned in IRS Publication 559 (Survivors, Executors, and Administrators). This is especially helpful in situations like yours where there were likely significant medical expenses. Just make sure you have proper documentation for all of these expenses, as the final returns of deceased taxpayers do tend to get extra scrutiny from the IRS.

14 If they were already taking Required Minimum Distributions (RMDs), you'll need to ensure the RMD for the year of death is taken if it wasn't already. This will be reported as income on their final return. For the accounts themselves, what happens next depends on the beneficiary designations. Different rules apply if the beneficiary is a spouse, non-spouse individual, or an estate/charity.

Thank you so much Sofia, this is really helpful. I'm especially concerned about the pension distributions - my brother had already started receiving his monthly pension before he passed, and there was a payment that came after his death that went into their joint account. Should I be worried about that being taxable to the estate instead of on their final return? And do you have any recommendations for finding a tax professional who actually knows about these deceased taxpayer situations? Most of the ones I've called seem just as confused as I am.

Hunter, that pension payment received after your brother's death is a great question. Generally, any pension payments received after the date of death would be considered income to the estate, not the deceased taxpayer. However, there can be exceptions depending on how the pension plan is structured and whether it was already "earned" before death. For finding a qualified tax professional, I'd recommend looking for an Enrolled Agent (EA) or CPA who specifically mentions estate and trust taxation experience. You can search the IRS directory of Enrolled Agents at irs.gov, and many will list their specialties. Also try contacting your state's CPA society - they often have referral services and can connect you with practitioners who handle deceased taxpayer situations regularly. The National Association of Enrolled Agents (NAEA) also has a "Find an EA" tool that lets you filter by specialty areas. Look for someone who mentions experience with Form 1041 (estate returns) since they'll understand the interplay between final individual returns and estate taxation. Don't feel bad about the confusion from other preparers - this really isn't something most general practitioners deal with regularly!

Thank you Fatima, this is really helpful guidance. I'm curious about something you mentioned - you said any income received after the second spouse's death in November would go on an estate return. But what about income that was earned before death but received after? For example, if they had some freelance work that was completed in October but the payment didn't arrive until December? I'm trying to figure out where exactly to draw that line between the final 1040 and potential estate filings. Also, do you know if there's a minimum threshold before you actually need to file a Form 1041 for the estate? I'm hoping to avoid that complexity if possible since the amounts might be relatively small.

Great question, Zoe! Income that was earned before death but received after generally still belongs on the final 1040, not the estate return. So that freelance payment for October work would go on their final return even though it arrived in December. The key test is when the income was "earned" or "accrued," not when it was physically received. For Form 1041 thresholds, you generally need to file an estate return if the estate has gross income of $600 or more, OR if there's a nonresident alien beneficiary (regardless of income amount). However, if the total estate assets are small and you're distributing everything quickly to beneficiaries, you might be able to avoid the estate return entirely by ensuring any post-death income goes directly to beneficiaries rather than sitting in estate accounts. The good news is many simple estates with minimal post-death income can avoid the Form 1041 complexity altogether with proper planning. Just make sure to keep detailed records of what income relates to which time period - the IRS likes clear documentation on these timing issues for deceased taxpayer situations.