Savings bonds should be an asset of the estate like any other asset. That allows the greatest flexibility. Your executors can accrue the interest on your final return if you’re in a low bracket (for example, if you die early in the year). Or they can accrue the interest on the estate’s income tax return (where they the administration expense deduction can be used to offset it). Or they can distribute the bonds to the beneficiaries and allow the interest to be deferred until the bonds mature.
Statistics: Posted by bsteiner — Wed Aug 14, 2024 7:36 pm — Replies 4 — Views 239