Walks Like an Individual, Quacks Like a Corporation: Trusts and Their State Tax Identity Crisis

The Bloomberg BNA Tax Management Weekly State Tax Report filters through current state developments and analyzes those critical to multistate tax planning.

States do not currently have well-established uniform rules for taxing trusts. Instead, states apply aspects of both individual and corporate taxation, often leading to mixed results. In this article, Lila Disque of the Multistate Tax Commission discusses the opportunity that this presents to work toward more equitable taxation of trusts.