With her near-sightedness, and those tremulous fingers of hers, at once inflexible and delicate, she could not be a seamstress; although her sampler, of fifty years gone by, exhibited some of the most recondite specimens of ornamental needlework.
State taxes on family trusts vary, but federal laws require family trusts to pay taxes on income it keeps but not on any that is distributed. A trust that earns $50,000 and distributes it all to trust beneficiaries pays no income tax. The beneficiaries pay income taxes on funds given to them.
Join Date: May 2008. My understanding is that the loss in the trust cannot be offset against the income of a beneficiary of the trust (or director of the trustee) and can only be applied against future profits. trade through a family trust and had a $26,000 loss last year and I would love to have that loss offset my tax income for myself but I cannot.