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The Allwardt Trust is a simple trust that correctly uses the calendar year for tax purposes....

The Allwardt Trust is a simple trust that correctly uses the calendar year for tax purposes. Its income beneficiaries (Lucy and Ethel) are entitled to the trust's annual accounting income in shares of one-half each.

For the current tax year, Allwardt reports the following.

Ordinary income $645,000
Long-term capital gains, allocable to corpus 193,500
Trustee commission expense, allocable to corpus 32,250

a. How much income is each beneficiary entitled to receive?
$ 322,500

b. What is the trust's DNI?
$

c. What is the trust's taxable income?
$

d. How much gross income is reported by each of the beneficiaries?
$

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ekkarill92 answered 2 years ago
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