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Level 3
September 18, 2020
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Trust in final year sold property at a loss, but Lacerte is taking $3,000 of that loss against trust income, and not passing it to beneficiaries. How do I correct this?

  • September 18, 2020
  • 1 reply
  • 13 views
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Best answer by George4Tacks

If done properly, the $3,000 will be added back on page 2, Schedule B line 6. The loss will show up on the the K-1 as 11 C.

Look at your diagnostic - It is probably giving you a hint to move your distribution percentages from Required to Other

1 reply

George4Tacks
Level 15
September 19, 2020

If done properly, the $3,000 will be added back on page 2, Schedule B line 6. The loss will show up on the the K-1 as 11 C.

Look at your diagnostic - It is probably giving you a hint to move your distribution percentages from Required to Other

Answers are easy. Questions are hard!
MBA_CAAuthor
Level 3
September 19, 2020

Thanks, George!

The $3,000 on the 1041 was confusing, but when I look at the Final Year deductions on 11C, the full loss is indeed going to the beneficiaries.