![]() ![]() If this code is used, the fiduciary will provide you with any additional information you may need to file your return that isn't shown elsewhere on this Schedule K-1. ![]() A beneficiary who doesn’t have enough income in that year to absorb the entire deduction can’t carry the balance over to any succeeding year. ![]() Only the beneficiary of an estate or trust that succeeds to its property is allowed to deduct that entity’s excess deductions on termination. ![]() See Final Regulations - TD9918 for examples of allowable excess deductions on termination of an estate or trust.Įxcess deductions on termination occur only during the last tax year of the trust or decedent’s estate when the total deductions (excluding the charitable deduction and exemption) are greater than the gross income during that tax year. Report this amount on Schedule 1 (Form 1040), Part II, line 24k. If this is the final return of the estate or trust, and there are excess deductions on termination that are section 67(e) expenses reported to you as a beneficiary, you may deduct the excess deductions shown in box 11, code A, as an adjustment to income. Box 11, Code A-Excess Deductions on Termination-Section 67(e) Expenses ![]()
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