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I make it a firm rule that I do not even touch any new trust returns, UNLESS I have a copy of the trust document. Without it, you have no idea how to deal with the items that need to go on the trust return, including who the beneficiaries are. Her former bank who was handling the return and investments would surely have this. Have her get it.

You might be thinking of your client receiving a check that could have w/h, and as Randall said, it's on client to make up the difference or pay tax on the w/h. But, he gets the w/h on his tax return. Just tell your client to do a trustee-to-trustee transfer to avoid any w/h.

I think it is because of the new deadline. There isn't a penalty for late payment until June 1. They will charge interest but not penalty. On mine, I zeroed out the penalty, got rid of the form, and informed the client that they might get a love letter. If they do, send it to me before paying it so I can check it. VA has been in the dark ages all frikkin season.

Well, somebody knows something. How do they know about breaking the lease and repaying the lessor? They know who the lessor is. Who is sending you an email and how do they know what the income/expenses are? I wouldn't do it if details of expenses were not furnished. If any "improvement" was made to the land, it needs to be depreciated. Somebody knows what it was because they paid for it. If "they" (whoever they are) stop paying the rent, believe me they will be contacted by the lessor who probably will produce a copy of the lease. They know who the management company is. They get a check, so they know the name of the issuer and the bank account it is drawn on. You would be surprised how much you can find out about these things on the internet. A copy of the will should be filed in the court of the county in which the original owner died, no matter how long ago. If it was a testamentary trust, that info about location of the farm is in it. And ownership of the farm would be recorded at the county for real estate tax purposes. Somebody is paying them. Somebody is paying to do the tax return. Who? I don't buy the theory that "nobody knows anything." This is the sort of stuff I would love to get into and it looks like everybody now has the time to do it. It doesn't seem like you have enough information to sign off on this and I would certainly convey that to whoever the current trustee is.

Unless the corporation was a C corp at the time the stock was issued, and if it was always an S corp, that would rule out 1202.

I think the depreciation recapture that is taxed as ordinary income and unrecaptured sec 1250 are QBI, but any portion of the gain that is taxed as capital gain wouldn't be. You can take a look at the final reg that is mentioned in this post from last year on the same topic:

https://theweek.com/speedreads-amp/908081/federal-program-promised-small-businesses-2-million-loans-now-maxing-15000 Several applicants reportedly said SBA representatives told them funding for the program was running out. Deb Wood-Schade, a chiropractic wellness business owner, told the Times she had been approved for a nearly $25,000 loan, but was given documents on Wednesday telling her the loan had been cut to less than a third of that amount.