Reviewing the Income Distribution Deduction Calculation Distributable Net Income (DNI) Calculation: Accounting Income: $80,000 Trustee's Fees: -$4,500 Net Exempt Income: +$20,000 (as noted earlier, tax-exempt interest) DNI Calculation: $ 80 , 000 $ 4 , 500 + $ 20 , 000 = $ 95 , 500 $80,000$4,500+$20,000=$95,500 Total Distributions: $80,000 Marcus: $40,000 Ellen: $40,000 Allocation of DNI: Given the total DNI of $95,500, which exceeds the total distributions of $80,000, the entire amount distributed could theoretically be covered by the DNI. However, if there's a rule or trust provision that specifies different allocations or calculations, this needs to be reflected. Correction to the Provided Calculation: Distributed Amount to Marcus and Ellen: $80,000 total. Calculation for Line 18 (Income Distribution Deduction): Should generally be the lesser of total DNI or actual distributions: Lesser of $ 95 , 500 $95,500 (DNI) or $ 80 , 000 $80,000 (actual distributions) = $ 80 , 000 $80,000. Addressing the Stated $55,500 Deduction: Your message describes a detailed allocation of DNI to Marcus and Ellen, totaling $74,001, and mentions a final deduction of $55,500, which does not match the standard calculation nor the described narrative. Here's a possible explanation: Possible Misinterpretation: The final deduction figure may have been misreported or misinterpreted in the context of the tax return. It's essential to ensure the numbers align with trust documents and standard