I am filing a simple trusts return for the first time. The trust distributed all income and that is all accounted for. However, $300 exemption on line 21 is causing line 23 to be a negative (-$300). My understanding is that line 23 can not be a negative, due to the exemption (if everything is distributed, then it should be $0). So do I manually go in and change this to $0. Why would the software not handle that, I don't like manually changing numbers, as it could have implications I am not aware of.
Thanks in advance,
VRH
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That's not a big deal or anything. The IRS knows you're not using the exemption because you used the IDD and distributed all of the income.
I guess my issue is that I have researched and understand this is not a technical problem. However, why can't the software simply apply the rule and not show a negative in a line that is not allowed to have a negative as a result of the exemption. Also, I assume I will leave the $-300 and it will get ignored but I hate to fill out a form with values that are not valid.
@VRH wrote:......why can't the software simply apply the rule and not show a negative in a line that is not allowed to have a negative as a result of the exemption.
You'd have to ask the developers that question (they're in India, btw).
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