Trust - Capital Gains

not distributed

Hard to say without seeing the governing document. However, as this is a Special Needs Trust (SNT) it is likely the document is silent on capital gains and dividends. Therefore, they would not be part of DNI and would be taxed to the trust. Form 1041 Shedule D has the worksheet for computing the trust's taxes using the maximum capital gains tax rate.

are not distributed

What I actually was interested in was would they be taxed at the normal trust rate or do they get a reduced rate like 1040 taxpayers get. Also, do you know where I can get the rate structure.

are not distributed

rate or do they get a reduced rate like 1040 taxpayers get. Also, do you know where I can get the rate structure.