Question regarding money from a trust
Good morning, My uncle formed a trust and placed his primary residence into the trust. I am the only trustee, as well as the power of attorney and soul heir in the will. He had to go into an alzheimer's care facility in 2022 and I had to sell the home to help pay for the care facility. I took that sales money and put it back into the trust. I also obtained a tax ID for the trust as it didn't have one before and did the real estate transaction under that number. He passed away on March 2nd, and I'll now be receiving about $400k. I anticipate about $100k will go to his capital gain taxes and final expenses, leaving around $300k to me. My main question is, will I be taxed on this inheritance? If so, is there anything I can do to mitigate the costs such as a ROTH or increasing my contributions to my 457b? I live in California, and the trust was formed in California. Thank you! Krystle Stewart
