We placed my parent's property (personal home) into a irrevocable trust. The instructions was to sell the property upon the death of one of the parents with the proceeds going into trust account at a bank of our choosing. We are to distribute money from the proceeds to my surviving parent for living expenses, etc. As far as I know, the trust was not given a tax id (still checking with lawyer who drew up the trust for us).
So now that the bank trust account has the funds, can I as the trustee distrbute the money without any tax liabilities? Who owns, if any, the tax responsibilities here?
The property is in California and proceeds from the sale was less than $500,000.