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Trust depreciation recapture

Thank you!

 

Trust depreciation recapture

If a trust has farming and fishing income on the k-1 it would be in both box 6 and 14?   That would come from line 42 of 1040 E?   And that would in turn come from schedule F or form 4835?   That would be for crop share and not cash rental?   
Thank you!

M-MTax
Level 12

Trust depreciation recapture

Is the trust operating a farm? If it only receives cash rental from a farm it owns, it reports on Schedule E.

Trust depreciation recapture

It shows on the k-1 Line 14 farming and fishing income noted to be F.  Wouldn’t that be operating a farm?   Would the same number ,be out on line 6 of the k-1?   

M-MTax
Level 12

Trust depreciation recapture

Did the trust receive a K-1? 

 

Otherwise, Line 6 would be business income which could be derived from farming operations.

Trust depreciation recapture

I have no idea if the trust itself received a k-1.  Why would that happen?   Would that happen with a complex trust?   It’s on my k-1 line 14 F.  But not on line 6.  
This was a simple trust.  All income to beneficiaries. 

M-MTax
Level 12

Trust depreciation recapture


@Farmgirl123 wrote:

It’s on my k-1 line 14 F.  But not on line 6.  


You need to contact the trustee.

Trust depreciation recapture

Thank you.

You have been very helpful. 

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