Paul Lyon, CPA is a full service tax, accounting and business consulting firm located in Newark, CA. You must file a tax return for an individual who died during the tax year if: A return is normally required; The decedent did not file prior year return(s).Report income distributions to beneficiaries and to the IRS on Schedule K1 (Form 1041). For small estates, there are exemptions are applied to the taxable amount before estate taxes are collected. Exemptions can be relation based and amount-based. A tax accountant in Alameda, CA can help you find deductions, file your return, and more. If you need help with your taxes, contact one today. At Tseng Law Firm, we are Alameda Estate Planning Attorneys who will work with you to create a custom plan tailored to your specific goals and objectives.