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How does Tax Plan calculate trust distributions?

Explains how trust distributions are entered and calculated, including dollar and percentage modes

Trust distributions in ChangeGPS Tax Plan are entered in the Distributions section of the Workspace (Step 2). You can choose between two distribution modes: Dollar mode, where you enter a fixed dollar amount per beneficiary, and Percentage mode, where you enter a percentage split and the amounts are calculated automatically based on the trust's net income. Once distributions are entered, Tax Plan attributes the distributed income to each beneficiary's tax calculation and applies franking credits automatically. You can model different distribution scenarios across the scenario tabs to compare the overall group tax impact of distributing to different beneficiaries.


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