My mother-in-law had a Revocable trust and paid taxes on her personal filings. She died last year and the trust became an irrevocable trust. All the assets have been sold and cash distributed to the beneficiaries. I am using TT Business to do the 1041. Is this type of trust a Complex trust or a Grantor?
Also, should I be using calendar year or short year? All monies were sent to the beneficiaries by the end of June.
I'm sorry for your loss.
The trust could be either:
Look at the previous years' tax returns--the type of trust will be noted on the first page. If it's a grantor trust, on the face of the Form 1041, you'll see: “Under the terms of the trust instrument, this is a grantor trust."
You can use either a:
I recommend the calendar year/short year because I think it's less confusing.
I'm sorry for your loss.
The trust could be either:
Look at the previous years' tax returns--the type of trust will be noted on the first page. If it's a grantor trust, on the face of the Form 1041, you'll see: “Under the terms of the trust instrument, this is a grantor trust."
You can use either a:
I recommend the calendar year/short year because I think it's less confusing.