Question 1

The Brighton Trust has distributable net income for the year of $100,000 and no income from tax-exempt sources.Under the terms of the trust instrument, the trustee is required to distribute $25,000 to Roger and $50,000 to Sally.After payment of these amounts, the trustee is empowered to make additional distributions at its discretion.Exercising this authority, the Brighton trustee distributes an additional $20,000 to Roger, and $30,000 to Sally.How much income from the trust must Sally recognize?

Accepted Answer

A)  $80,000.
B)  $65,000.
C)  $50,000.
D)  $30,000.E) None of the above
F) C) and D)

Question 2

____________________ is the maximum amount that can be included in the beneficiaries' gross incomes from the fiduciary for the year.

Accepted Answer

Distributa...

Question 3

The trust usually makes a distribution to the income beneficiaries in the amount of its fiduciary ____________________ income.

Accepted Answer

The answer of The trust usually makes a distribution to...

Question 4

The Code defines a "simple trust" as which of the following?

Accepted Answer

A)  One which is allowed to file Form 1041-EZ.
B)  One which has only one income beneficiary.
C)  One which must distribute its accounting income every year.
D)  One whose grantor was a living individual.E) None of the above
F) B) and C)

Question 5

With respect to a timely filed Form 1041 for a trust based in Delaware, the IRS will accept:

Accepted Answer

A)  Only paper returns.
B)  Only e-filed returns.
C)  Returns either on paper or in electronic form.
D)  Returns only at its Ogden, Utah office.E) A) and B)
F) A) and C)

Exam 28: Income Taxation of Trusts and Estates

The trust usually makes a distribution to the income beneficiaries in the amount of its fiduciary ____________________ income.

Correct Answer
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____________________ is the maximum amount that can be included in the beneficiaries' gross incomes from the fiduciary for the year.

Correct Answer
verified
Distributa...
View Answer

Correct Answer
verified

With respect to a timely filed Form 1041 for a trust based in Delaware, the IRS will accept:

Correct Answer
verified

The Code defines a "simple trust" as which of the following?

Correct Answer
verified

Exam 28: Income Taxation of Trusts and Estates

The trust usually makes a distribution to the income beneficiaries in the amount of its fiduciary ____________________ income.

Correct AnswerverifiedShow Answer

____________________ is the maximum amount that can be included in the beneficiaries' gross incomes from the fiduciary for the year.

Correct AnswerverifiedDistributa...View AnswerShow Answer

Correct AnswerverifiedShow Answer

With respect to a timely filed Form 1041 for a trust based in Delaware, the IRS will accept:

Correct AnswerverifiedShow Answer

The Code defines a "simple trust" as which of the following?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
Distributa...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified