A is 16 years old and a beneficiary of testamentary trust. Income earned in the trust is to be accumulated in the trust until she reaches the age of 18 at which time accumulated income can be distributed. In the current year the trust earned interest income of $12,000 and a capital gain of $8,000. Determine the maximum amount that the trust can deduct from income and allocate to A in the current year.

Answer rating: 100% (QA)

According to Canadian tax laws a minor beneficiary of a testamentary trust can claim a deduction aga... View the full answer