Fiduciary

Definition

A person or entity — such as a trustee, executor, administrator, or personal representative — who is legally obligated to act in the best financial and legal interests of another party, such as a trust beneficiary or estate heir. In tax practice, fiduciaries are responsible for filing returns and making tax elections on behalf of the trust or estate they manage. Their signing authority on tax documents like Form 8879-TA is governed by specific IRS rules distinct from those applied to individual taxpayers.