K-1s in a Trust account

[VPBC1]

K-1P received from a company with an entity type listed as Trust.   Does the K-1 get reported separately on the individual return or are the numbers already included in the trust brokerage statement.

[Just-Lisa-Now-]

Not sure what a K-1P is.....so you have a client with a trust that received a K-1 from another trust?    Maybe you can explain your situation better.

[VPBC1]

The P indicates it is a K-1 from a publicly traded partnership and the K-1 was issued to a partner who is holding it in his individual trust.  His interest in that entity was sold in 2022 and the sale was reported in the capital gains of the Trust account.  The question is whether the K-1 needs to reported separately on the individual return.  

[Just-Lisa-Now-]

Depends what kind of trust it is.  Revocable living trust income goes on the individual return, does it have a trust EIN on the K-1 or his SSN?

[qbteachmt]

"Does the K-1 get reported separately on the individual return or are the numbers already included in the trust brokerage statement."

If I understand what you are asking, it's the other way around.

The K-1 is the operational perspective from the Trust held by your client's trust.

The brokerage statement for your client's trust is the effect of the buy/sell of that (sub-)Trust which issued the K-1 to your client's trust. You would not have the (sub) Trust's brokerage statement, unless you are filing for that (sub) Trust and you are the one issuing the K-1 for its operations to the holders of that (sub) Trust, including your client's own Trust.

You have an envelope (client's Trust) with investments inside of it. That K-1 is from inside of the envelope and not from the envelope.

[VPBC1]

The K-1 has a SSAN as does the brokerage account for the Trust which has the sale of the K-1 entity.

[Just-Lisa-Now-]

If the K-1 has an SSN on it, then its input on the 1040 (same as any other K-1) along with the brokerage statement...the K-1 will have items that are not included on the brokerage statement for that particular partnership.