Thomas G. asked
I am a trustee and one of five equal beneficiaries to my deceased mother’s Revocable Trust in Florida. The trust assets, consisting of savings periodically invested in CDs, were liquidated after her death, and the proceeds were transferred to her trust checking account. The total trust assets are $125,500, including $125,000 of principle and $500 of interest income upon which tax has not yet been paid. Upon distribution to beneficiaries, what portion of their individual distributions will be subject to Federal Income tax?
September 22nd, 2023
Joel B. answered
Only the untaxed interest income from the CDs will be subject to Federal Income tax for each benefic...
September 22nd, 2023
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