11:21
is that what they are calling punk rock bands these days?
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LSDefine
Simple English definitions for legal terms
income in respect of decedent
Read a random definition: consolidating statute
A quick definition of income in respect of decedent:
Income in respect of decedent: This means any money that a person who has died would have received if they were still alive. For example, if a salesperson earned a commission but died before they could get paid, that commission would be considered income in respect of decedent. Depending on who gets the money, it may need to be reported on different tax forms. If the money goes to the person's estate, it goes on the fiduciary return. If it goes directly to a beneficiary, the beneficiary has to report it on their tax return.
A more thorough explanation:
Income in respect of decedent, also known as "IRD," refers to any income that a person who has passed away would have received if they were still alive. This income can come from various sources, such as:
- Unpaid salary or wages
- Unpaid bonuses or commissions
- Unpaid rent or royalties
- Unpaid dividends or interest
For example, if a salesperson earned a commission but passed away before receiving it, that commission would be considered IRD. Depending on who receives the income, the IRD would need to be reported differently:
- If the IRD is paid to the deceased person's estate, then it must be included on the fiduciary return.
- If the IRD is paid directly to a beneficiary, then the beneficiary must include it in their tax return.
Overall, IRD is any income that a deceased person would have received if they were still alive, and it must be reported and taxed accordingly.