Entering prior year ends if different from current year end (1041)

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General Information

Use this screen to enter 1099-INT, 1099-OID, 1099-DIV, and 1099-B information reported on a consolidated broker statement. Data that you enter on this screen combines with data that you enter on the Income, K1, and K1T screens.

Include last four digits of account number in payer name

Interest and dividend detail is reported with the return. If you enter interest and dividend entries on the face of the input screen instead of in the statement, the payer’s name is used as a description. Enter X in this field if there is more than one Broker screen with the same payer’s name so that the account number will be included in the description to identify the source of the interest and dividend amounts.

Interest, Dividend, and Sale Transaction Information

See Section 199A, Qualified Business Income Deduction for more information.

Interest income (including foreign source)

For more information about the Type Code field in the interest statement, see Type Code field in the interest and dividends statement.

Dividends (including foreign source)

For more information about the Type Code field in the dividends statement, see Type Code field in the interest and dividends statement.

Extraordinary dividends for simple trusts

Use the Dividends (including foreign source) Use this procedure only if calculating depreciation and the client has ever had a short tax year. UltraTax/1041 uses the Prior year-ends, if different fields on Screen 1041 to calculate the correct prior and current depreciation expense of assets entered in the asset module. If the client's assets are entered in the Asset tab, and if the prior fiscal year end differs from the current fiscal year end, enter the different year ends in the appropriate fields on Screen 1041.

Note: If this is the client's first year and the year was shorter than 12 months, this procedure is not necessary. Enter in the Most recent field the ending date of the month proceeding the month in which the short year began. For example, if the client's year began on 5/18/21 and ended on 12/31/21, enter 4/30/21.

To enter the different year ends, complete the following steps.

  1. In the folders block, click the General folder, and open Screen 1041.
  2. In the General Information tab section, review the client's year ends starting with the most immediate prior year end until a fiscal year end that differs from the year entered in the Tax year: Ending, if other than 12/31 field is found.
  3. Enter the different fiscal year end in the Most recent field.
  4. Continue to review the client's year ends. If you find another year end that differs from the year end entered in the Most recent field, enter this year end in the Interim field. Otherwise, skip to step 6.
  5. Continue to review the client's year ends. If you find another year end that differs from the year end entered in the Interim field, enter this year end in the Oldest field. Otherwise, skip to step 6.
  6. In the folders block, click a folder that contains the Asset tab, click the Asset tab, and choose Tasks > Calculate All Assets.

    UltraTax/1041 does not consider Screen 1041 complete until you enter these dates correctly and does not allow you to leave the screen. Be sure to complete the following tasks.

    • Enter dates in ascending order from the Oldest field to the Most recent field.
    • Enter only year ends that differ from the preceding and following year ends.
    • Enter only year ends that precede the year end entered in the Tax year: Ending, if other than 12/31 field.
    • Enter the last day of the month when you enter the year end in MMDDYY format. (UltraTax CS only calculates depreciation based on whole months.)

Example

If a client with a current fiscal year end of 6/30/22 has prior fiscal year ends of 6/30/21, 3/31/21, 3/31/20, 6/30/19, and 9/30/18, enter the following information.

Most Recent

Interim

Oldest

3/31/21

6/30/19

9/30/18

Note: If you change information in these fields after depreciation has been calculated, it is necessary to recalculate depreciation by returning to the Asset tab and choosing Tasks > Calculate All Assets.

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