Question
How do you designate a trust that is partially "simple" and partially "grantor" (because of holding C-corp and is a QSST?
The trust owns C-Corp stock and is making a QSST election. Therefore, part of the trust is reporting as a "grantor trust" for the S-Corp activity. It also holds partnership interest and is required to distribute all income, therefore is also a "simple" trust. Is there a way to get both boxes checked on page 1 of the 1041, and then just have a footnote on the K-1 for the QSST activity?
