If a taxpayer died during the year, enter the date of the death on the Info worksheet. It is in the Credits section, under the Life events subheading.
Enter the Legal representative and the Type of return.
This will then trigger pro-rated calculations and other required forms in this and the spouse's return (if required).
The Canada Revenue Agency (CRA) requires the answer to this question in the EFILE record. It tells the CRA that an election was made to include income in the final return rather than in the trust under subsection 104(13.4). It doesn't change anything within the TaxCycle return.
The CRA included information Subsection 104(13.4) in the T3 Trust Guide, section "Income to be taxed in the trust".
Since you can EFILE the T1 return with this election in it, you will need to mail in the letter required for the T1 final return (see what it should include, below).