My mother created an irrevocable trust in my name and I've been taking monthly disbursements. How do I declare these on my income tax return?
You should have received a Schedule K-1 to be reported on your tax return. Did you receive a Schedule K-1? If not ask the CPA who handled the trust tax return for the Schedule K-1.
I have not received a schedule K-1 the accountant tells me before we are filing a grantor letter and not a 1041.
@atoasttoall wrote:
I have not received a schedule K-1 the accountant tells me before we are filing a grantor letter and not a 1041.
See this answer for a Grantor Letter - https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/grantor-letter/01/2805294
Does TurboTax have a button where I enter my disbursements (no W-2 or equivalent)? Aren't those still taxable income?
when you get a grantor letter it's like the trust never existed. you report on the appropriate form based on what it is. for example interest income. if earned from three sources you are supposed to enter 3 1099-Int. if dividends are from 2 stocks you're supposed to use 2 1099-DIV. each stock transaction listed would need to be listed separately