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Good Day,

I am in the process of creating a Living Revocable Trust for the purpose of Incapacity Planning.

I have Accounts that I receive Interest from. These Accounts will go in the Trust.

This Trust will name me Grantor, Primary Trustee, and Living Beneficiary.

My question is, how do I file 1040 with my same SSN?

Do I file same way as I have done while the Accounts are not in a Revocable Trust?

I cannot find this answer on Google, etc.

Please point me in the right direction.

Thank you kindly.

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Revocable Trusts are ignored by the IRS, and you don't need to file any income tax returns for the trust; just for yourself with your SSN and including all the income generated in the trust -- interest payments from bank accounts, bonds, etc. that are held in the trust, dividends and capital gains distributions from mutual funds, ETFs etc, capital gains and losses from selling investment property (stocks, bonds etc) held in the trust etc -- as your personal income on your 1040. There are many other legal issues to consider but asking about those is better with the attorney setting up the trust than random strangers on the internet; unless, of course, this is a do-it-yourself project and you are using a canned fill-in-the-blanks solution available on the internet; in which case I will give some gratuitous advice: Please don't.

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  • Hello @dilip-sarwate I am working with an attorney to create Revocable Trust. However I am looking for 1040 instructions on how to report the income generated in the trust, i.e. is there a special schedule I need to fill. Thank you.
    – Marium
    Commented Nov 9 at 18:14
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    @Marium You will get 1099 Forms indicating the Revocable Trust as the entity which is receiving the money, but the Tax Identification Number (TIN) of the Trust will be your Social Security Number. The IRS expects all taxable income with a given TIN to be reported on the Form 1040 bearing that TIN. So, there is nothing to do while filling in your 1040 other than what you have always done; report all the interest income of the Trust along with any interest income from sources outside the Trust on the appropriate line of Form 1040, filling out a Schedule B if necessary etc.
    – Dilip Sarwate
    Commented Nov 9 at 22:00
  • Oh, thank you for clarifying this!
    – Marium
    Commented Nov 11 at 20:25

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