Preparing Trust Returns

Preparing Form 1041 isn’t just “another return”—it’s a different tax system with its own definitions of income, its own deduction framework, and its own rules for pushing taxable income out to beneficiaries. In this webcast, Mary Kay Foss walks through trusts as taxable entities, how fiduciary accounting income differs from taxable income, and how to classify and handle simple vs. complex trusts so you can compute distributable net income (DNI) and the distribution deduction correctly—without getting tripped up by what the governing instrument and state principal-and-income law require.
You’ll also dig into the practical “what goes where” of trust return prep: deductible expenses (including fiduciary-only deductions), how taxes and administration items are treated (and when Form 706 comes into play), the post-TCJA reality around former 2% floor expenses and unbundling, plus common income categories you’ll see on fiduciary returns (interest/dividends, capital gains, rentals, and pass-through K-1s). The CPE course ties it together with key calculations and compliance areas—NIIT, estimated tax penalties, and elections like §645 and the 65-day rule—so you can prepare trust returns with confidence and defend your positions.