8. Bonita is considering establishing a trust for her mother that will pay out $1,000 each month. The trust department will act as a trustee. Bonita will retain the right to revoke the trust and be the remainder beneficiary of the trust. If the trust earns $15,000 for the year, who must pay the income tax on earnings.

1. Bonita pays on $15,000
2. Bonitas mom pays on $12,000, the trust on $3,000
3. Bonitas mother pays on $12,000, Bonita on $3,000
4. The trust pays on $15,000