On-Demand

The Basics of Form 1041 Preparation 2025-26

CPE: 2

Overview

Preparing fiduciary income tax returns can be daunting, even for experienced practitioners. Form 1041 (federal) and Form 541 (California) share similarities with individual income tax returns, but fiduciary rules introduce important complexities.

This course offers a practical, step-by-step approach to Form 1041/541 preparation, covering everything from obtaining an EIN and understanding governing documents to reporting income, deductions, elections, and distributions. Designed for those preparing their first fiduciary return or seeking a solid refresher, this course equips participants to navigate fiduciary taxation with confidence.

Product Code
1000004378
Credit Type
CPE: 2
CPE-Technical: 2
MCLE: 1.5
MCLE LS-EP: 1.5
Format
Online Self-Study
Intended Audience
CPAs who are new to working with trusts
NASBA Field of Study
Taxes
Level of Difficulty
Basic
Prerequisites
Some knowledge of individual tax is preferred.
Advance Preparation
None

Learning Objectives

Differentiate fiduciary income tax reporting from individual returns by understanding governing documents, fiduciary accounting income (FAI), and distributable net income (DNI).

Classify and report trust and estate activity — including income, deductions, elections, and distributions — while applying rules for simple vs. complex trusts and handling first and final returns.

Prepare accurate federal (1041) and California (541) filings by addressing state-specific requirements, new disclosure items (e.g., digital assets), and preparing Schedules K-1 for beneficiaries.

Major Subjects

Obtaining an EIN
Understanding Wills and Trusts
Answering questions on Forms 1041 and 541
Special income and Special deduction topics
First and final returns
Preparing Schedule K-1

Faculty

Mary Kay Ann Foss

Mary Kay Foss CPA is a frequent lecturer for community, professional and business groups. She has authored and presented courses for tax professionals throughout California. She has over thirty years of practical experience in advising clients about retirement, income and estate planning issues. Ms. Foss currently serves on the AICPA Individual Self-Employed Technical Resource Panel and is a past chair of the AICPA Trust Estate and Gift Tax Te...

More about Mary Kay Ann Foss

The Basics of Form 1041 Preparation 2025-26

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Nonmember

Overview

Product Code

Credit Type

Format

Intended Audience

NASBA Field of Study

Level of Difficulty

Prerequisites

Advance Preparation

Learning Objectives

Major Subjects

Faculty