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tier

for a {complex} irrevocable trust that does not require distribution to beneficiary, with income from both interest and dividends, i am trying to distribute only the interest to the beneficiary.  however, turbotax insists on prorating the distr amount to both interest and divs on the k1 form.  Not able to edit the k1 in Forms.  ive tried changing the tier 1 and 2 amounts with no success.

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1 Reply
RobertB4444
Expert Alumni

tier

The system - much like the IRS - treats interest and dividends as the same type of income.  You will have to adjust the amount of total income that you are sending to the beneficiaries until it matches the amount that you want instead of trying to separate the dividends and interest.

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