Thank you!
The sale of the house would be 50/50 split between the Trust and the surviving spouse; right? That is how the checks were distributed. $83K to the surviving spouse, the dad AND $83K to the Trust, which then immediately distributed a check from the Trust account to the sole beneficiary, who is also the sole TTEE.
I ran two scenarios, and on placed the tax burden on the Trust and the other onto the beneficiary K-1. From a state tax perspective, I wonder if the latter (passing along the K-1) would be better? The house was in Ohio, but the beneficiary is in Kentucky. Any thoughts on that aspect?
I really do appreciate your help, a real blessing.
