2 questions. 1)I set up my estate end of last year as a trust for kids and grandchildren. Of course, both me and my wife are still alive. I obtained an email from the lawyer advising me to remember to file 1041(he sent out to all his clients) if needed. Since neither me or my wife is deceased, do I have to worry about a 1041 at this time or do I just file taxes as usual. Also,(2) can i deduct trust attorney fees on my taxes for setting up trust.
Thanks
Depends ... did you set it up as a grantor trust which can be undone ?
It's revocable at this time. Does that meet the definition of grantor?
Thank you for your help. It is much appreciated.
L.B.
I did look up my trust. It appears to have Grantor status per my folder.
Thanks!
L.B.
Ok ... then everything is entered on your personal tax return as usual ... no separate 1041 is needed. The attorney sent out a general email which doesn't apply to you.