The estate was listed as the beneficiary of an IRA.  Brokerage house created inherited IRAs for all of the estate beneficiaries and did direct transfers from the IRA in the estate's name to the inherited IRAs. A Form 1099R was issued to the estate.  The estate beneficiaries did not receive a Form 1099R.  How is this reported on Form 1041?  Do I report the distribution on Line 8 and back it out?  Or, do I issue K-1s to the beneficiaries showing the distributions and they show them as rollovers?  I don't prepare the beneficiaries personal tax returns.