skip to main content
X

UHY IN THE NEWS: IRS RULES WOULD MAKE MANAGING TRUSTS, ESTATES MORE EFFICIENT

UHY IN THE NEWS: IRS RULES WOULD MAKE MANAGING TRUSTS, ESTATES MORE EFFICIENT

Rules surrounding managing trusts and estates are often unclear, especially when considering eligible expenses and deductions. As a result, excess deductions--meaning deductions exceeding the trust or estate's income--were often passed on to beneficiaries. With the new rules released by the IRS, deductible and non-deductible expenses are separated, with excess deductions now treated as a single miscellaneous itemized deduction.

Robert Lickwar, a Partner in UHY's Northeast Region, noted this separation of expenses will require more accounting work. However, he said the change is ultimately beneficial as it allows the deductions to be passed along to reduce the adjusted gross income of the beneficiaries.

Readers with a Bloomberg Tax subscription can find the full article here.

Non-subscribers can contact us for a PDF copy.

Hide Firm Disclaimer

©2020 UHY LLP. ALL RIGHTS RESERVED.

UHY LLP is a licensed independent CPA firm that performs attest services in an alternative practice structure with UHY Advisors, Inc. and its subsidiary entities. UHY Advisors, Inc. provides tax and business consulting services through wholly owned subsidiary entities that operate under the name of "UHY Advisors." UHY Advisors, Inc. and its subsidiary entities are not licensed CPA firms. UHY LLP and UHY Advisors, Inc. are U.S. members of Urbach Hacker Young International Limited, a UK company, and form part of the international UHY network of legally independent accounting and consulting firms. "UHY" is the brand name for the UHY international network. Any services described herein are provided by UHY LLP and/or UHY Advisors (as the case may be) and not by UHY or any other member firm of UHY. Neither UHY nor any member of UHY has any liability for services provided by other members.

On this website, (i) the term "our firm", "we" and terms of similar import, denote the alternative practice structure conducted by UHY LLP and UHY Advisors, Inc. and its subsidiary entities, and (ii) the term "UHYI" denotes the UHY international network, in each case as more fully described in the preceding paragraph.