Question: The Sterling Trust owns a business and generated $100,000 in depreciation deductions for the tax year. Mona is one of the income beneficiaries of the

The Sterling Trust owns a business and generated $100,000 in depreciation deductions for the tax year. Mona is one of the income beneficiaries of the entity. Given the following information, can Mona deduct any of the Sterling depreciation on her Form 1040? If so, how much is her deduction?

Sterlings taxable income from the business $ 800,000

Sterlings gross income from the business 4,000,000

Monas share of trust accounting income 500,000

Total trust accounting income 2,500,000

Monas share of distributable net income 1,200,000

Total distributable net income 1,600,000

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