How are the expenses described in the letter? Does the letter say anything else regarding the expenses reported? The WDT is a grantor trust involved in liquidating the assets of the business and returning any income net of expenses to the former shareholders. every beneficiary letter I ever seen has reported some income from investment of proceeds, until distributed, and expenses for administering the trust. These would be investment expenses, not deductible for federal income tax purposes, since the trust is not engaged in a operating a business but in its liquidation.
