- The named successor trustee of original trust was Bank#1 (where orig trust account was held). Bank #1 declined to be trustee.
- Another trustee was appointed, opened the Bank #2 Trust account with new TIN.
- Bank #1 distributed in full (principal + income) to the new Bank #2 Trust account (same Trust agreement, just post-death & irrevocable now after death).
- Bank #1 utilizes the 65 day rule so it only has to generate a single 2021 1099 (vs. a 2021, and then another 2022 1099)
- The attorney fees (preferred 2021 deduction) are for the 2021 Trust work, during 2021 & early 2022 to effect this distribution (with 2021 1099)
- There have been no distributions from either Bank #1 or Bank #2 Trust accounts to beneficiaries, not principal or income, and will not be for this distribution until after the Mar 7, 2022 65th day.
February 10, 2022
2:25 PM
