Thank you!
I have read this article. But I also understand in a trust that depreciation is a little different and that if a trust can keep a reserve, cash on the books is moved to principal for that reserve. There is an actual reserve suppose to be kept. A reserve than owed to the beneficiaries if not used.
Im still curious for the depreciation kept by the trust should the trust not pay the recapture and not the beneficiary for the portion not directly apportioned to the beneficiary?
just trying to figure this all out. I would assume that when the beneficiary got the direct allocation for their portion, they would pay the recapture. It seems to me of the trust kept it, they would pay the recapture?
I don’t see this addressed in any papers I read on the subject.
