Tax form 1040 or 1041?

[georgemohr]

What is the name of your state?undefinedWhat is the name of your state?

Maryland

Jane Smith is the Trustee for her own revocable trust. Does she file a form 1040 or 1041 for Federal Taxes?

[Snipes5]

The trust files form 1041, which issues Jane a K-1.

Jane takes the K-1 and files it on her personal form 1040.

Snipes

[tdavidl]

it sounds like jane is also the "grantor" (she contributed her own assets to create the trust).

if this is truly a fully revocable trust, it was created after 1980, the assets are located in the us and jane has full power to remove the assets from the trust, then this is considered a grantor trust for reporting purposes and the income is reported on jane's 1040 as if a trust did not exist.

otherwise as snipes said, a 1041 is required.

[georgemohr]

undefined

tdavidl and Snipes,

Thanks for your replies.

The information I have came from Jane's Stock Brokerage 1099 title block:

"Jane Smith TTEE
U/A DTD 01/14/2000
RESTATED U/A DTD 1/14/2000
BY Jane Smith"

She told me it was a revocable trust. There is no K-1 been issued. She has full power to buy and sell within the account and to take cash out. So it looks like the 1040 is correct to me, per tdavidl.

Doesn't seem like the "trust" has any effect. What's its purpose?

[tdavidl]

georgemohr

you may email me at [email]tlott@nlgroup.com[/email] if you need further clarification. i too am in MD. use "trustadvice" in the subject line if you do.