"Simon Baldwin" <simon_baldwin[at]mailinator.com> wrote

- quote -

Ah, sounds like you inherited the dreaded publicly traded
real estate investment trust/partnership. A real PIA for
those who have them. You can't sell it - ever (it's like a
rule or something, just like time-shares).

- quote -

The inheritance itself isn't taxable, but the income from
the trusts or partnerships is.

It can be in the form of operating income (or loss), rental
income (or loss), capital gains (or losses) and include a
host of other items that may or may not be of importance.
One other thing, they may require multi-state filings, so be
prepared.

- quote -

Ask someone in your family to look at the returns of the
person you are inheriting this monster from to tell you what
types of income and the amounts these investments threw off.
That at least, should put you close enough for government
work.

Surely someone knows what they did last year and can tell
you with some certainty.

- quote -

Find out what it is you are inheriting, and either keep it
and deal with the reporting delays - sell it for whatever
cash you can get out of it - or donate it to a charity.

--
Paul Thomas, CPA
paulthomascpapc[at]bellsouth.net

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Follow their advice. The distributions were probably
interest and/or dividends earned, not corpus of the
inheritance. Although, if they knew how much to send you
they knew where it came from so ask the payors if the
administrator of the estate doesn't know. Also, question
who told you youe' get 2 K-1 and a 3520--they must know what
you'r getting if not the exact taxability of it.

ed

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

Oops. Make that "..within 90 days of the distribution,
which in this case would be March 30th...".

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

In 2005, I received distributions from an inheritance that
seem to have triggered the need for me to be sent two
Schedule K-1's and a Form 3520, from three separate
organizations, the details of which need to accompany my
2005 tax return. To date, despite my repeated reminders,
cajoling, and in some cases pleading, I've received none of
these, and the prospects of receiving any of them, let alone
all, before April 17th appear remote. It appears I'm forced
to extend, then.

Before I can file for an extension, however, I need to
estimate, somehow, how much of this inheritance is likely to
be listed on the K-1's as taxable. None of the agencies
involved seems willing to offer any estimates at all
(although one did suggest I "assume it's all taxable",
which, for an inheritance on which death tax has already
been paid, seems conservative to the point of stupidity).

Anyone got any opinions on the best course of action here?
Besides camping out in the offices of the various
organizations involved and beating them over the head every
15 seconds with a large 2x4 until they come up with the
required figures, is there a rule of thumb I could apply
here, or other way to at least guess for myself what the
taxable amount is likely to be?

The Form 3520 is similarly subject to corporate
heel-dragging. The IRS instructions for this one are vague,
but suggest that under some circumstances it's best filed by
me within 30 days of the distribution, which in this case
would be March 30th, so even less contingency time here
then. I haven't located a way to extend the filing deadline
for this form yet, either.

Form 3520 is coming from overseas, so there's not much IRS
leverage to be applied there. Do I have any way to force
taxability information out of them, or any reliable way to
estimate it myself?

Finally, anything I can do to stop this becoming an even
worse headache? Either this year, or again in later years?
Thanks.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >