I have a question regarding 1041's. Our office is working on a 2021 Estate. The first fiscal year there was nothing to report so it would have been a zero return. The attorney decided not to file the return since it wasn't really necessary. Now we need to file a 1041. This will also be a zero return but we need to report attorneys' fees, paid. My question is: how do I mark the return? Do I mark it as an initial return, not mark it at all? Or do I need to prepare that initial return and then this second return? Either way there won't be any tax because everything goes to the spouse but I just want to make sure I mark the return properly.
