sjrcpa
Level 15
06-03-2024
02:00 PM
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Assuming:
a) While deceased person was alive, their share of partnership income was reported on their 1040 (as in trust was disregarded for tax purposes)
b) Upon their death, the trust became irrevocable.
c) The partnership interest was included in their estate.
Then, the partnership can make a 754 election to step up the basis of the trust's share of the assets to dod FMV.
The more I know the more I don’t know.