This course examines the tax obligations of estates and trusts and how these obligations affect beneficiaries. It provides exercises and examples that reflect the calculation and allocation of taxable income and its presentation on the appropriate forms. Participants will learn how to protect clients' assets and shield clients' estates from increased taxation brought about by the changing tax code. Additionally, they'll learn about the effect of H.R. 1, commonly referred to as OBBBA, on estate and trust taxation.
Learning Objectives
When you complete this course, you will be able to:
- Identify the elements of a trust.
- Recognize the difference between principal and income as defined by the Uniform Principal and Income Act (UPAIA).
- Identify tax payment and reporting requirements for estates and trusts.
- Distinguish between simple trusts and complex trusts.
- Recall when a grantor has a reversionary interest.
- Recall how pooled income funds are taxed.
- Recall the filing requirements for estates and trusts.
Major Topics
- Types of trusts
- Trustee powers
- Recognition and realization of income
- Elements of an estate
- Basic concepts of estate planning
