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Fixed Assets and UltraTax CS 2023 help is now on Help and Support. We're still moving articles, but you can find most content for the 2023 tax year there. Continue using the Help & How-To Center for tax years 2022 and older.

Question

How do the distribution amounts on Schedule B, lines 9 and 10 calculate?

Answer

The amounts on lines 9 and 10 are based on entries on Screens Allocate and Dist in the Allocation folder and in View > Beneficiary Information.

• If you enter an amount in the Income required to be distributed (Force) field on Screen Dist in the Allocation folder, that amount prints on Schedule B, line 9. If you enter an amount in the Other amounts paid, credited, or distributed (required or discretionary) field on Screen Dist in the Allocation folder, that amount plus any discretionary allocation calculated based on data entry in View > Beneficiary Information prints on Schedule B, line 10. Otherwise, the amounts available for distribution are the net income amounts on the Allocation of Expenses by Income Type - Accounting Income Basis Worksheet.
• If you enter a percentage in the Income distributions field in the View > Beneficiary Information > Federal tab > Allocations group box, the percentage is applied to all of the ordinary and tax-exempt income types.
• If 100 percent of accounting income is distributed equally to the first-tier beneficiaries, you may use the First tier beneficiaries: Allocate all items, except capital gains, equally field on Screen Allocate in the Allocation folder. You may use the First tier beneficiaries: Allocate capital gains equally field on Screen Allocate in the Allocation folder to do the same thing with capital gains. Entries in these fields have precedence over entries in the View > Beneficiary Information > Federal tab.
• If you enter a code in the Pooled income funds: Allocate based on ownership share field on Screen Allocate in the Allocation folder, 100 percent of income is allocated based on the amount entered in the Pooled income fund: Ownership share field in the View > Beneficiary Information > Federal tab > Other returns group box. The ownership share allocation has precedence over allocation percentage and amount entries in the Allocations group box or the Special Allocations button in the Federal tab.

Related topic: 1041-US: Beneficiary distribution calculations FAQs

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