How to make trust not liable to pay taxes on income?

[ENairne]

Trust should not pay taxes flow through entity.

[abctax55]

Were there distributions to the beneficiaries?

[sjrcpa · Accepted solution]

Distribute the income to the beneficiaries in a timely manner. Then it will be shown on their K-1s and taxed to them.

Capital gains are generally corpus and taxed to the trust. 

[Just-Lisa-Now-]

1041, Page 2, Sch B, Line 9  is where you would enter the amount that was distributed to the beneficiaries to get the income to flow to their K-1s

[ENairne]

Thanks exactly the answer I was looking for