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Updated over 4 years ago on . Most recent reply

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7
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1
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Chad Green
1
Votes |
7
Posts

Deducting legal fees for transferring title estate -> beneficiary

Chad Green
Posted

A deceased parent owned rental properties. From the time of the decedent's death through tax year 2019, the estate has been filing fiduciary returns, passing the income and the tax liability through to the beneficiaries. The beneficiaries receive K-1's and use them to file their own Schedule E's. In 2020 I paid a lawyer to transfer those properties into the names of the beneficiaries. Does anyone get to deduct that expense (the estate on it's 2020 fiduciary return? the beneficiaries on their 2020 Sched E's?)?

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