Open TurboTax

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
Announcements
Your taxes, your way. Get expert help or do it yourself. >> Get started
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

cancel
Showing results for 
Search instead for 
Did you mean: 
Becca-G
New Member

Got disbursements from a trust fund this year. Trustee said the $ isn't taxable because of deductible costs the trust incurred. Can I file my taxes before getting a K1?

Don't want to delay my refund by waiting to file. The disbursements were based on net income from a rental property from the prior year. However, the trustee tells me that the costs of purchasing and maintaining the rental property have offset any need to pay taxes on the actual income and therefore the disbursements. They advised me to file my taxes now and retain the Schedule K1 whenever I receive it for my records. Does this sound correct?

1 Best answer

Accepted Solutions
MiriamF
New Member

Got disbursements from a trust fund this year. Trustee said the $ isn't taxable because of deductible costs the trust incurred. Can I file my taxes before getting a K1?

Yes, you may file now and keep the K-1 for your records.

The IRS will be getting the K-1 also, and if they determine that you had no taxable income based upon this K-1, they may send you a letter, or they may not.

If the K-1 indicates that perhaps you do have income, you would be wise to file an amended return. If  you don't already have your K-1, it would be because it hasn't been completed, so there's always the chance that the final result will be different.

View solution in original post

1 Reply
MiriamF
New Member

Got disbursements from a trust fund this year. Trustee said the $ isn't taxable because of deductible costs the trust incurred. Can I file my taxes before getting a K1?

Yes, you may file now and keep the K-1 for your records.

The IRS will be getting the K-1 also, and if they determine that you had no taxable income based upon this K-1, they may send you a letter, or they may not.

If the K-1 indicates that perhaps you do have income, you would be wise to file an amended return. If  you don't already have your K-1, it would be because it hasn't been completed, so there's always the chance that the final result will be different.

About Community

Learn about taxes, budgeting, saving, borrowing, reducing debt, investing, and planning for retirement.

3.49m
Members

2.63m
Discussions

Manage cookies
v
ABCDEFGHIJKLMNOPQRSTUVWXYZabcdefghijklmnopqrstuvwxyz0123456789-_~