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1041 w / Brokerage Activity Only - Net Investment Tax

tccpg289
Level 4

Where in the software do I ensure that the Net Investment Tax is calculating properly for a 1041 complex trust?

 

All income is distributed to the beneficiary, and the main pieces of income are dividends, interest, and capital gains.

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2 Comments 2
George4Tacks
Level 15

If all income is distributed the trust would have no tax. The NIIT would show up on the individual returns and the nature of the income would transfer via the K-1. 


Answers are easy. Questions are hard!
BobKamman
Level 15

Does the trust document allow distribution of capital gains to beneficiaries?