Trust what to do

[Kram BergGold]

In 1993 a house was placed into a trust. The trust documents reveal that there are 4 benificiares, 2 of which are the trustees. The trustees can't act without written instuctions from all of the beni's. The trust can be terminated at any time with a written instruction from any benificiary. So to me this trust, for taxes, should have been ignored and all income and expenses handled on the 4 individual's returns.
Does anyone disagree?
Obviously it was not handled that way. 1041 Forms were filed every year using the Trust's ID #. In 2006 the property was sold and I am being asked to deal with the income, expenses and sale. My gut feeling is to prepare a final 1041 even if it is technically incorrect. If anyone disagrees, how would you handle this?

[WhiteOleander]

I think I would just proceed as you plan and file the 1041. From what you describe, it was not an irrevocable trust and should not have filed 1041's in prior years.

But, it was done. And so what? Evidently all taxes due were paid. So, I don't think the IRS would quible. And now with the property sold, the problem will end.

JMHO