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13643: 1041 - Casualty or Theft of Personal Use Property


1041 Fiduciary

In an estate return, how do I get a casualty loss for personal use property to go to Section A of the Form 4684? 
 

Page 1 (Section A - Personal Use Property) of Form 4684, Casualties and Thefts, is not produced by Drake Tax in a fiduciary return. It is available from IRS.Gov.

You can complete it by hand and enter the results in the software, but you may not be able to successfully e-file the return if a D2 screen entry is made and the specified forms are not present in the return (Business rules SD-1041-001 and SD-1041-002).

If page 1 of the manually completed Form 4684 displays a value:

  • on line 18 (casualty and theft deduction), the value may be entered on screen 3, line 15a (other deductions).
  • on line 15 (a capital gain remaining after form subtractions), the value may be entered on screen D2:
    • line 4 (short-term).
    • or line 11 (long-term).

Paper-filing. You can paper-file the return and submit the manually completed page 1 of Form 4684 with the rest of the return as generated in Drake Tax. 

e-Filing.

  • If you make an entry on screen D2, line 4 or line 11, Business rule SD-1041-001 or SD-1041-002 will cause a reject unless the following conditions are met:
    • For line 4, one of these forms is present: 6252, 6784 or 8824
    • For line 11, one of these forms is present: 2439, 6252, 6781 or 8824
    When data is entered on either line and if none of the required forms are present for that line, then the return must be paper-filed.
  • If you e-file the return, be sure to attach page1 of Form 4684 as a PDF, as the IRS will be expecting it to be attached. 

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