The Grantor Letter or Information Sheet is a transmittal document,
copied to the IRS, showing you as a recipient of various forms of
income, and possibly having certain deductible expenses. Enter the information listed in the Grantor Letter in the places where you normally would, had you paid or received these items directly instead of through a trust.
You report each income and expense item as if you had received an equivalent 1099, using the name and EIN of the Trust as the payer. So treat interest as if a 1099-INT, dividends as if a 1099-DIV, Gains and Losses as if a 1099-B, etc.
Some of the more common items and where to add them include the following:
Income Items
Click on
Federal Taxes >
Wages & Income [In TT Home & Biz:
Personal > Personal Income ]
-
Taxable interest and dividends - Interest and Dividends > Interest on 1099-INT [or Dividends on 1099-DIV]
-
Ordinary income - Investment Income > Stocks, Mutual Funds, Bonds, Other [or one of the other categories listed]
-
Capital gains and losses - Investment Income > Stocks, Mutual Funds, Bonds, Other
Deductible expenses
-
Click on Federal Taxes >
Deductions & Credits [In TT Home & Biz:
Personal > Deductions & Credits > I'll choose what
I work on].
-
Go to the appropriate section, like Your Home > Property Taxes or Charitable Donations > Donations to Charity in 2015.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
