The XYZ Trust has two income beneficiaries. The trust can distribute any amount of accounting income to the beneficiaries and corpus. Taxable interest income 40,000 Tax-exempt income interest income 20,000 Long-term capital gains-allocable to corpus 80,000 Legal and accounting fees-allocable to corpus 9,000 Money distributed to Beneficiary A 13,000 Money distributed to Beneficiary B 26,000 Determine the following: Trust Accounting Income________________________ Taxable Income________________________________ Distributable Net Income (DNI)________
The XYZ Trust has two income beneficiaries. The trust can distribute any amount of accounting income to the beneficiaries and corpus. Taxable interest income 40,000 Tax-exempt income interest income 20,000 Long-term capital gains-allocable to corpus 80,000 Legal and accounting fees-allocable to corpus 9,000 Money distributed to Beneficiary A 13,000 Money distributed to Beneficiary B 26,000 Determine the following: Trust Accounting Income________________________ Taxable Income________________________________ Distributable Net Income (DNI)________
Chapter20: Income Taxation Of Trusts And Estates
Section: Chapter Questions
Problem 26P
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The XYZ Trust has two income beneficiaries. The trust can distribute any amount of accounting income to the beneficiaries and corpus.
Taxable interest income 40,000
Tax-exempt income interest income 20,000
Long-term
Legal and accounting fees-allocable to corpus 9,000
Money distributed to Beneficiary A 13,000
Money distributed to Beneficiary B 26,000
Determine the following:
Trust Accounting Income________________________
Taxable Income________________________________
Distributable Net Income (DNI)____________________
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