Problem 28-22 (Algorithmic) (LO. 2, 3) The Allwardt Trust is a simple trust that correctly uses the calendar year for tax purposes. Its income beneficiaries (Lucy and Ethel) are entitled to the trust's annual accounting income in shares of one-half each. For the current tax year, Allwardt reports the following. Ordinary income Long-term capital gains, allocable to corpus Trustee commission expense, allocable to corpus a. How much income is each beneficiary entitled to receive? 399,750 X b. What is the trust's DNI? 768,750 X c. What is the trust's taxable income? 674,200 X d. How much gross income is reported by each of the beneficiaries? 337,100 X $615,000 184,500 30,750

Problem 28-22 (Algorithmic) (LO. 2, 3) The Allwardt Trust is a simple trust that correctly uses the calendar year for tax purposes. Its income beneficiaries (Lucy and Ethel) are entitled to the trust's annual accounting income in shares of one-half each. For the current tax year, Allwardt reports the following. Ordinary income Long-term capital gains, allocable to corpus Trustee commission expense, allocable to corpus a. How much income is each beneficiary entitled to receive? 399,750 X b. What is the trust's DNI? 768,750 X c. What is the trust's taxable income? 674,200 X d. How much gross income is reported by each of the beneficiaries? 337,100 X $615,000 184,500 30,750

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter20: Income Taxation Of Trusts And Estates

Section: Chapter Questions

Problem 26P

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