Wednesday, July 1, 2020

Irrevocable Trusts File Tax Returns #4

https://streetsmartinvestor.com/trusts/irrevocable-trusts-file-tax-returns-4/

Do Irrevocable Trusts File Tax Returns?
I’ve been using trust since 1984. Best thing on the planet.
And when people ask me if irrevocable trusts file tax returns, the answer is yes they do.
Learn more about this and different types of trust by downloading my FREE book to learn more:
I hope to see you soon. Yeah, baby!
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So the question is, do irrevocable trusts file tax returns? Well, hi! My name’s Lou Brown. I’ve been buying, holding and selling real estate for over 40 years. And I can tell you I’ve been using trusts since 1984. Absolutely love them! Best thing on the planet. And when people ask me, do irrevocable trusts file tax returns, the answer is yes. They do. An irrevocable trust is what’s called a complex trust as to be contrasted with a simple trust. So in fact, there’s 30 different kinds of trusts out there and they’re categorized in two ways. It’s either a Simple Type Trust means that it flows through to the tax return of the beneficiary of the trust. Now that would be a Simple Trust. And in fact, that trust files a very limited tax return, but really refers to the beneficiary’s tax return.
Now, the opposite of that is what’s called an Irrevocable Trust. That’s a complex trust. So complex trusts do file tax return. They have their own EIN number. They have a separate form from the IRS called a 1041 instead of a 1040. It’s a 1041. Taxes as a result of filing using an irrevocable trust has its own tax tables as well. So it’s definitely something you need to get advice from your tax professional on. If you’re going to take advantage of the benefits of doing an irrevocable trust. Which can be many. So for some people, it makes more sense to do a simple trust. For others, it makes more sense to do an irrevocable trust. So make those decisions by learning more.
First of all, I’ve got a download, a free download for you on this trust book that I’ve got. It’s called Privacy Protection Probate Avoidance And Profits Available Using Trusts. And you can go to my website. And that would be, MaximumAssetShield.com/book And you could download that book for free. While you’re there, you can also learn about, we have a home study course, called Land Trusts and Personal Property Trusts. And I’ve also got a four day training called Maximum Asset Shield. So you can check those out as well. I look forward to seeing you soon. Yeah, baby!
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