Executor's Personal Commission on Estate.HELP!!!!!!?

Question

Is the commission that I received as executor taxable one state income tax? I live in Pa. and file a PA-40.
Help, Janet

Answer 1

Yes, Sorry. Fees received by executors are taxable compensation income for PA purposes.

At least it isnt subject to federal self-employment tax.

Win some - lose some.

Answer 2

Tax Geek is correct in most cases. If a business is included in the estate, fees related to the business are subject to self employment tax.

Fees Received by Personal Representatives

All personal representatives must include in their gross income fees paid to them from an estate. If paid to a professional executor or administrator, self-employment tax also applies to such fees. For a nonprofessional executor or administrator (a person serving in such capacity in an isolated instance, such as a friend or relative of the decedent), self-employment tax only applies if a trade or business is included in the estate's assets, the executor actively participates in the business, and the fees are related to operation of the business.