Taxpayer died in 2020 but income and withholding in 2021

[Fredtax]

Error message on date of death in 2020 for 2021 return

[sjrcpa]

Dead people don't earn money. Their estate may, and their estate may be entitled to money the decedent earned while alive but that had not been paid before death..

You can't file a 2021 1040 for someone who died in 2020.

[Just-Lisa-Now-]

You'll need to have the estate apply for an EIN number so you can file a 1041 for the estate.  You may want to speak with the attorney handling everything to see if this has already been done,

[Fredtax]

NO return is the solution. There is no Estate

[Just-Lisa-Now-]

Income received after death is income to the estate.

[IRonMaN]

Out of an abundance of curiosity, what kind of income are we talking here?

[sjrcpa]

Unless you die naked, homeless, and penniless there is an estate.

[IRonMaN]

But that's like asking what came first - the chicken or the egg?  In January in Minnesota if you are naked, homeless and penniless, you are going to die ------------------------ you are going to freeze to death.  But on the bright side as you are freezing to death you don't need to add to your troubles by worrying about who is going to handle your estate.

[Fredtax]

Assets moved to a trust. One pension payment with Fed w/h received in 2021

[Fredtax]

Pension payment with fed w/h.Otherwise no need to file. Client is reaching out to the payer.

[IRonMaN]

Then you have a trust 1041 to complete instead of an estate 1041?