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The Schedule K-1 is generated by the individual or entity managing the estate or trust, commonly the executor or trustee. This process involves compiling financial information that reflects the distributions made to beneficiaries, leading to the completion of the IRS 1041 - Schedule K-1. It is essential to handle this accurately, as it provides the beneficiaries necessary information for their tax returns. If you're unsure about the process, consider professional assistance.
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