beneficary

[alanonnet00]

What is the name of your state (only U.S. law)? NV
Is it a set amount when you recieve a certain amount of money from a trust that you must claim it on your taxes?
Is it over $10,000? that you have to claim it?
I've heard alot of different answers.

 

[LdiJ]

What is the name of your state (only U.S. law)? NV
Is it a set amount when you recieve a certain amount of money from a trust that you must claim it on your taxes?
Is it over $10,000? that you have to claim it?
I've heard alot of different answers.

It all depends on the nature of the money that you have received from the trust. If you received a Schedule K-1 from the trust then it needs to be included on your tax return, just like a W2 or 1099.

If its a beneficiary trust then the taxable income of the trust passes through to you and you are taxed on the money. Other kinds of trust might pay the taxes and then the money would pass to you without it being a taxable event.

Principal could also be distributed without there being a taxable event. So, as you can see, there is no set answer.

 

[alanonnet00]

it was just given to me in a form of a check just over 10,000. I took it to the bank to cash thats all

 

[tranquility]

You will receive a K-1 from the trust describing how you should report your relationship with the trust.