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June 6, 2019
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If an irrevocable trust had no tax due when filed how will the K-1 form impact the taxes due for the beneficiary?

  • June 6, 2019
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There were distributions to zero out the trust and finalize it.  Are those trust distributions taxed under the beneficiaries taxes?

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The K-1 gets reported on the personal tax return of the beneficiaries and does affect their taxes.  It would be treated like a retirement distribution.  (Form 1099 R_

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Answer
June 6, 2019

The K-1 gets reported on the personal tax return of the beneficiaries and does affect their taxes.  It would be treated like a retirement distribution.  (Form 1099 R_