Which Bankruptcy Chapters Are Exempt from Settlement Payments Related to Real Estate?
My title insurance company pays settlements for bankruptcy matters, specifically related to real estate. I understand that certain types of Bankruptcy attornies are exempt from 1099MISC reporting. Please detail which bankruptcy "chapters" (Chapter 7, 11, 13, etc) are exempt or is it all of them? Does this reporting exemption extend to bankruptcy trustees? How about to bankruptcy trusts or estates?
Right of Way Payment
I am paying a land (property right of way) payable to XYZ Irrevocable Trust. What is an Irrevocable Trust? Do I issue 1099-S?
Right of way payments...
We made a contribution payment to a trust account. Is . . .
We made a contribution payment to a trust account. Is it reportable on the 1099 Misc form? If so, which box?
You have to determine if...
We made payment to a family memorial Trust in the . . .
We made payment to a family memorial Trust in the amount of $15,837. They contributed this money to a fallen police officer fund. We issued a 1099-Misc to the trust in box 7. They state it should show as a contribution? How should we report this money or do we since it was a contribution?
You are required to...
If life insurance payments went to the deceased members trustee, . . .
If life insurance payments went to the deceased members trustee, does that make that payment reportable? Is there a distinction between making the payout to a beneficiary vs. making it to a trustee?
If it is reportable - what box/form?
Insurance proceeds paid by reason of the insured's death are...
Have situation where we purchased property from a family trust.<br . . .
Have situation where we purchased property from a family trust.
When completing the W-9 they entered the "John Doe Family Trust" under name and used the Trustee's SSN
The Trustee is the same person as indicated on the family trust - John Doe
Is this correct ?? Or should they be using the trust EIN
Trusts can pose a very tricky situation.
In general you will want to...
How do we report payments to a complex trust?
How do we report payments to a complex trust?
Make sure to...
Use the name of the trust, and the EIN of the trust, as they were furnished to you on Form W-9. Do not use the trustee's tax identification information.
How do we report to a simple trust?
How do we report to a simple trust?
A simple trust is...
How do we report payments to a grantor trust?
How do we report payments to a grantor trust?
When a grantor trust has...
only one grantor (or a husband and wife together as the only grantor), the trust is not required to obtain an EIN. In this case, you can use the trust name and grantor's SSN. This also applies to revocable trusts with one grantor.
What information do we need on the W-9 for payments . . .
What information do we need on the W-9 for payments to a trust?
When a reportable payment is made to a valid trust, estate, or pension trust, it is the name and EIN of the legal entity (the trust) that must be furnished to you on the form W-9. See the IRS instructions for Form W-9.
The IRS instructions state, "Do not furnish the TIN of the personal representative or trustee unless the legal entity itself is not designated in the account title."