65 Day Rule For Trust Distributions 2025. Trust 65 Day Rule 2024 Calculator Robbi Christen Under the Internal Revenue Code's 65-day rule, calendar-year trusts have until March 6, 2025, to distribute trust income to beneficiaries equal to the greater of the trust's accounting income or its distributable net income (DNI) for the year and treat those amounts as if they were made on the last day of the previous year. The 65-Day rule may help reduce income taxes for certain trusts and estates
65 Day Rule for Complex Trusts Wheeler Accountants, LLP from wheelercpa.com
The election is made by the trustee on the trust's tax return deadline of April 15, 2025, or September 30, 2025, for returns on extension. One of the tax planning tools available to fiduciaries of estates and non-grantor trusts is the 663 (b) election, also known as the "65-day rule." Simply put, a 663 (b) election allows distributions made to beneficiaries within 65 days of year-end to be counted as prior-year distributions.
65 Day Rule for Complex Trusts Wheeler Accountants, LLP
One of the tax planning tools available to fiduciaries of estates and non-grantor trusts is the 663 (b) election, also known as the "65-day rule." Simply put, a 663 (b) election allows distributions made to beneficiaries within 65 days of year-end to be counted as prior-year distributions. This 65-day rule provides an opportunity to shift income out of a trust and to beneficiaries, even if those distributions are made outside of the 2024 calendar year Nor will a grantor trust qualify for this 65-day rule
65Day Rule Maximizes Trust/Estate Tax Efficiency Mercer Advisors. For 2025, any distributions from January 1, 2025, to March 6, 2025, will count as a 2024 distribution if this election is made by the trustee By making the timely election and distributing within 65 days, fiduciaries can effectively allocate income to beneficiaries and avoid tax at the trust level.
65 Day Rule For Trust Distributions 2025 Brynn. The 65-day rule under Internal Revenue Code 663 (b) allows trustees of a trust to treat distributions that are made within the first 65 days of the trust's tax year as if they were paid or credited on the last day of the preceding tax year One of the tax planning tools available to fiduciaries of estates and non-grantor trusts is the 663 (b) election, also known as the "65-day rule." Simply put, a 663 (b) election allows distributions made to beneficiaries within 65 days of year-end to be counted as prior-year distributions.