Trust Car Expenses

[Questionguy101]

If the executor of a trust needs to use his car for works related to the trust, is the car expense deductible somewhere on Form 1041?

I understand if the work is rental related or business related, it may be deducted on the Schedule E or the Schedule C. But the car usage here is just to handle legal matters related to the trust.

[Lion]

Turn in an expense account to the trust to get reimbursed.

[Questionguy101]

Turn in an expense account to the trust to get reimbursed.

Ok..so where does the trust claim the expenses in Form 1041? I am thinking it's either line 15a or line 15b. Am I correct?

[appelman]

Line 12

They should be part of the fiduciary's fees.

[Burke]

Mmmmm....maybe not. If fiduciary is not taking any fee (why take one if he is only bene, for example), then it is a misc expense. Even if he is taking a fee, he may be able to get some out-of-pocket expenses. Have him check with local probate court/commissioner of accts/etc to whom he is providing account of income/expenses to see what they are willing to allow. If he is taking full fee, then usually only extraordinary expenses, perhaps airfare to another state to facilitate sale of property, for instance, might be allowed. Depends on circumstances. Just running around town? That's part of his job, for which he is reimbused by the allowable fiduciary fee.

[appelman]

If I were doing it...

I'd still take it as a fiduciary expense, assuming that it is, in fact, a legitimate expense.