Illustration: A trust that has generated a capital gains tax (CGT) gain but also has a tax loss from business income. When attempting to distribute the CGT gain to a beneficiary, the business income loss gets distributed along with it.


Open each beneficiary and choose "Manual" as distribution type and  manually enter the gains and put zero in the Business income since it is a loss.

Note: Net capital gain is not distributed from Beneficiary worksheet. Instead user can create CGT worksheet in one of the individuals and fill it there.

Related Article:

Trust Tax Return (TRT) loss distribution