revocable trust file personal income tax

The creator of a revocable trust, legally called the “grantor,” has the right to change, amend or revoke – do away with – the trust at any time. Also known as a grantor trust, the income earned on the trust is apportioned to the grantor while living. The grantor must then report any income, dividends, deductions and gains on their own personal income tax return. The beneficiaries of a revocable trust have no tax responsibility upon receiving income distributions at the death of the grantor. Grantors of a revocable trust are personally responsible for listing the income from the trust on personal income tax returns,