Hello,
I am the trustee for my mother's living trust. She died in late 2020. This is first year that we've had to file a 1041 and are a bit confused. The trust earned some dividend income in 2021, so a 1041 needs to be filed.
Where I get confused is with distributions and responsibility for the beneficiaries. There are 3 beneficiaries to the trust. One is a minor and there are stipulations as to how and when funds should be disbursed. The other 2 of which I am one, could have received funds from the trust in 2021 but elected to keep all monies intact. Do I need to file a K-1 for each of the beneficiaries and do they need to include these funds on their taxes?
