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New Member
posted Jun 3, 2019 11:22:53 AM

My spouse and I set up a revocable living trust in 2016. She and I are the sole beneficiaries. She has Alzheimer's disease, early stage. I am the sole trustee, but she has the power to revoke the trust. Can we still file a joint return? Most of

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Level 15
Jun 3, 2019 11:22:56 AM

"Can we still file a joint return?"

Yes, since the trust is apparently owned by the grantor (one spouse) and one other person (the other spouse), you can continue filing joint returns and treat the trust as a disregarded entity (a grantor trust). The foregoing presumes the trust instrument does not contain express language to the contrary.

See https://www.irs.gov/instructions/i1041/ch01.html#d0e1593

2 Replies
New Member
Jun 3, 2019 11:22:54 AM
Level 15
Jun 3, 2019 11:22:56 AM

"Can we still file a joint return?"

Yes, since the trust is apparently owned by the grantor (one spouse) and one other person (the other spouse), you can continue filing joint returns and treat the trust as a disregarded entity (a grantor trust). The foregoing presumes the trust instrument does not contain express language to the contrary.

See https://www.irs.gov/instructions/i1041/ch01.html#d0e1593