Taxes on a simple trust.?

I have a simple trust, and I am wondering how earnings on it are taxed.

All profits from this trust are transferred from the trust with the K1 forms.

No earnings are held within the trust.

Does the trust have any tax debt if all the earnings are transferred?

I was thinking that all taxes would go to the recipient of the K1, and the trust would have none.

Any help would be greatly accepted.

2 Answers

  • Anonymous
    8 months ago

    The trust must file to show it has no net income.  The schedule K-1s indicate who the income belongs to and how it shall be taxed.  This is to the benefit of the recipients because trust tax rates are very high.

  • Anonymous
    8 months ago

    Yes I have the same thing.

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