User's Manual - Drake Software

Drake Software User’s Manual Fiduciary Package (1041)
Fiduciary Package (1041)
Estate Package (706)
For 2012, Drake provides better support of multiple grantor statements (last year it
required some extra data entry if there was more than one) and allows preparers more
flexibility to allocate deductions to a particular income type than in prior years.
Because the IRS added a fourth page to Form 706 for the Deceased Spouse Unused
Exclusion (DSUE), Drake has added a new DSUE screen.
This new section allows taxpayers to opt out of electing to transfer any DSUE amount
to a surviving spouse, and allows taxpayers to calculate the amount of DSUE that can
be transferred in the event of an election, and to account for any DSUE amount
received from each predeceased spouse.
There is also a Schedule PC—Protective Claim for Refund—added to the Form 706
and a corresponding new Drake screen (screen PC). Schedule PC can be used for taxpayers
to preserve their right to a refund of estate taxes paid for assets or liabilities that
are the subject of unresolved controversy at the time of filing the return.
Drake has also added a new Recapitulation Overrides screen (screen 5).
More details will appear in the estate (706) supplemental manual, to be published
early in 2013.
Tax Year 2012 371