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Level 2
posted Feb 8, 2020 12:09:56 PM

What do deposits to a college trust count as?

I am the trustee for my niece's college trust.  In 2019 I deposited additional money into the trust.  It was a gift from my sister to my niece.  Does it count as "income"?  Do I need to account for it in the trust's taxes in any way?

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1 Best answer
Level 15
Feb 8, 2020 1:01:02 PM

A gift to a trust is generally considered to be a gift to the beneficiary(ies); it is not considered "income" to the trust that would be taxable. 

1 Replies
Level 15
Feb 8, 2020 1:01:02 PM

A gift to a trust is generally considered to be a gift to the beneficiary(ies); it is not considered "income" to the trust that would be taxable.