Types of Trusts

Free CPA TCP (Tax Compliance & Planning) lesson in Entity Tax Compliance. 18 min read, ~2,733 words.

Simple trusts must distribute all income currently, cannot make charitable contributions or distribute corpus; complex trusts can do any of these, and any deviation makes a trust complex. A trust's simple or complex classification is determined annually based on that year's activity, so it can alternate between classifications. Grantor trusts...