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Get your taxes done using TurboTax
If you are unsure, you should file for extension until you get the proper answers you need to know if the income is taxable or not.
We (and you) do not have enough information to give a definitive answer.
If you file for extension, I suggest you calculate your return CLAIMING THE INCOME to see if any tax might be owed. An extension gives you more time to file, so you don't get a "Failure to File" penalty, but it DOES NOT give you extra time to pay your tax liability, so if you'll owe, you'll still have a "Failure to Pay" penalty.
Therefore, include the income and if you'll owe tax, pay that as a 2023 Estimated Tax Payment. A payment can be included with your extension.
If including that income from the Trust results in a refund, you can just file the extension with no payment.
Even if you make a payment with your extension, and the trust payment ends up being non-taxable, you will get the estimated payment amount included in your refund. (Be sure that the tax payment is reported on the final return you file
under
Deductions & Credits
Estimates and Other Taxes paid
Estimates)
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