Question
In: Accounting
Julie is the beneficiary of a discretionary trust. She is 20 years old.
Julie is the beneficiary of a discretionary trust. She is 20 years old. Last year, she received a $3,000 distribution from the trust. Julie had no other sources of income for the year.
Who is liable for tax on Julie's trust income?
Her parents | ||
Julie | ||
No one | ||
Trustee of the trust |
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Expert Solution
Julie is the beneficiary of a discretionary trust. She is 20 years old. Last year, she received a $3,000 distribution from the trust. Julie had no other sources of income for the year.
Trustee of the trust , Trustee Liable to file Form 1041 and pay taxes accordingly.
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