topic Moms condo was in my name for years. Now she made a living trust and the condo was put back in her name with the trust. How do I handle that on Turbo Tax? in Business & farm

Moms condo was in my name for years. Now she made a living trust and the condo was put back in her name with the trust. How do I handle that on Turbo Tax?

rc910 — Mon, 03 Feb 2020 20:02:12 GMT

Re: Moms condo was in my name for years. Now she made a living trust and the condo was put back i...

AlanT222 — Mon, 03 Feb 2020 20:23:26 GMT

Now that the condo is in a trust, you may have to file a Trust Income Tax return. Please follow the link to see if you are required to file a Trust income tax return.

You'll need TurboTax Business to file Form 1041, as the personal versions of TurboTax don't support this form.

TurboTax Business is available for Windows on CD or as a download. It's not available for Mac or in our online versions of TurboTax.

After you install TurboTax Business and begin working on your return, you'll be asked which type of return you need to prepare. Select Trust or Estate return (Form 1041) and proceed.

Re: Moms condo was in my name for years. Now she made a living trust and the condo was put back in her name with the trust. How do I handle that on Turbo Tax?

Anonymous_ — Wed, 05 Feb 2020 00:06:16 GMT

"Now she made a living trust and the condo was put back in her name with the trust"

This sounds like a typical grantor trust, which is treated as a disregarded entity for federal income tax purposes. As a result, you can choose an optional method of filing which, essentially, obviates the need to file a separate income tax return for the trust (Form 1041); you would simply file her Form 1040 as before.

See https://www.irs.gov/instructions/i1041#idm140630131852672