Deceased taxpayers have to file an income tax return, just like the rest of us
There are only two things certain in life – death and taxes – or so the saying goes. And even in death, a final tax return must be filed. However, when a taxpayer passes away, it is the responsibility of their surviving spouse or appointed representative to file their final tax return.
This return should be prepared and filed in the same manner as if the individual were still alive, reporting all income up to the date of death and claiming all eligible credits and deductions. The IRS does not require a copy of the death certificate or other proof of death to be submitted with the tax return.
When are final tax returns due?
The same tax deadlines that apply to regular federal returns apply for final returns. For example, if an individual passed away in 2022, their final return would be due by April 18, 2023, unless an extension has been granted.
When e-filing, it is important to follow the directions provided by the tax software for proper signature and notation requirements. For paper returns, “deceased,” along with the person’s name and date of death, should be written across the top.
Who is responsible to file the final tax return?
In most cases, the representative responsible for filing the final tax return is named in the deceased person’s will or appointed by a court. In situations where there is no surviving spouse or appointed representative, a personal representative may file the final return and attach Form 1310, Statement of Person Claiming Refund Due a Deceased Taxpayer.
It is important to note that if the deceased person did not file individual income tax returns for years prior to their death, their surviving spouse or representative may need to file these returns on their behalf. Additionally, the IRS considers the surviving spouse married for the full year in which their spouse died if they do not remarry during that year. This means that the surviving spouse is eligible to use either “married filing jointly” or “married filing separately” as their filing status.
Who is responsible to sign the final tax return?
When it comes to signing the final tax return of a deceased individual, there are several possibilities. If an appointed representative is responsible for filing the return, they must sign it. In the case of a joint return, the surviving spouse must also sign. If there is no appointed representative and the surviving spouse is filing a joint return, they should sign the return and write “filing as surviving spouse” in the signature area. If there is no appointed representative and no surviving spouse, the person in charge of the deceased person’s property must file and sign the return as “personal representative.”
Are there any additional required documents for the final tax return?
In addition to the tax return itself, there are other documents that may need to be included. Court-appointed representatives should attach a copy of their court appointment document. Representatives who are not court-appointed must include Form 1310, Statement of Person Claiming Refund Due a Deceased Taxpayer to claim any refund. Surviving spouses and court-appointed representatives do not need to complete this form.
When is the due date for payment of any tax due on the final tax return?
If tax is due with the final return, payment should be submitted along with the return or through one of the payment options available on IRS.gov. If immediate payment is not possible, the filer may qualify for a payment plan or installment agreement, similar to other individual taxpayers.
What is a qualifying surviving spouse?
Surviving spouses with dependent children may be eligible to file as a Qualifying Surviving Spouse for two years after their spouse’s death. This filing status allows them to use joint return tax rates and claim the highest standard deduction amount if they do not itemize deductions.
For more information on filing a final tax return for a deceased individual, refer to Publication 559, Survivors, Executors and Administrators; Tax Topic No. 356, Decedents; or visit IRS.gov and search for “How Do I File a Deceased Person’s Tax Return?