Michelle’s trust is subject to 3.8% surtax on the lesser of the trust’s net investment income or the excess of the trust’s adjusted gross income over the $12,400 threshold (the highest trust tax rate). Explain how the trust can avoid this tax. What are the tax obligations of nonexempt charitable trusts?

Answer rating: 100% (QA)

1 The trust can avoid this tax by doing a number of these measures a The trust can use their initiat... View the full answer