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Did you know - Estate deductions

Did you know - Estate deductions

Did you know that if you are a beneficiary of an estate you may be entitled to a special deduction? This is a frequently overlooked deduction because you don't get an IRS form showing the amount; you need to figure it out. When a decedent's gross estate includes income that is taxed on the estate return and is also taxable to the beneficiary, the beneficiary is entitled to a special deduction referred to as the IRD deduction. Probably the most common situation when this occurs is with inherited Traditional IRAs.

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Lee Reams, BSME, EA

Lee Reams, BSME, EA

Editor-in-Chief

Besides his role at CountingWorks as an educator and speaker to thousands of accountants nationwide, Lee manages a technical research service for a large group of tax accountants which sharpens his technical skills. Lee served on the Board of Blackline Systems, is a former Board of Director for the California Tax Education Council, is a Past President of the San Fernando Valley Chapter of Enrolled Agents, Member and Past Director for the California Society of Enrolled Agents.

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