I am closing out a revocable trust and am the trustee with full control to distribute as needed.
The income on the trust for 2024 was only interest income.
Distribution to the beneficiaries in 2024 was (income + principle) based on percentage.
TT is asking "Was All the Trust's Income Distributed?"
Options are:
Yes, the distributed <-neg accounting income value>
OR
No, it distributed a different amount. Then asks for Required Amount (First Tier) and Other Amount (Second Tier).
I am not sure how to answer this question. I searched and I believe the correct answer will be Yes. But I would like to be sure.
Also will K-1's be needed for this situation?
