1041-US: Schedule B, line 9 is not equal to distributable net income for a simple trust (FAQ)

Alerts and notices
Leave feedback

Internal Employees: Submit feedback

Contact information (optional):

Leave this blank:

Please tell us how we can make this information more helpful.


Characters left:

MFA required for electronic filing

Effective May 3rd, the 2017 version of UltraTax CS requires multi-factor authentication (MFA) to access the electronic filing transmission feature in CS Connect.

Thomson Reuters is committed to proactively evolving our security features to help you protect your firm and your clients' data. For more information about multi-factor authentication, see Multi-factor authentication overview.

Question

Why is Schedule B, line 9 not equal to distributable net income for a simple trust?

Answer

For simple trusts and other trusts distributing 100 percent of income, accounting income prints on Schedule B, line 9. In some situations, accounting income is not equal to distributable net income. This is attributable to differences between tax and book income, such as passive loss limitations and limits on miscellaneous deductions, or to items other than capital gains allocated to corpus. The Accounting Income and Distributable Net Income Detail Information Worksheet shows a comparison of the two numbers. To adjust accounting income, use the applicable fields in the Accounting Income section of Screen Dist in the Allocation folder.

Related topic: 1041-US: Beneficiary distribution calculations FAQs

Share This