Does this provision in the trust document for an Irrevocable trust allow the trustee to allocate all expenses to taxable income?  Expenses in question are tax preparation and advisory fees.  The tax-exempt income in this trust is 51% of total income.

If so, then the income that is distributed to the beneficiary will be much lower and the beneficiary's personal income tax will be lower.

" The trustee shall have the power, in the trustee's sole discretion, to do any or all of the following acts: 1. (iii) to elect any item either as an income or estate tax deduction for any tax reporting purpose; 2. to determine when a particular item will be deducted or reported as income."