On Feb 15 CH posted a video titled "The end of the 1099a" which he talked about the brokerage, filling out a 1099a for $120,000 and you receiving a new car, ins, gas card and a check for like $40,000. CH always says your trust is not a bank. Getting a check for $40,000 seems like a bank doesn't it? I just need clarification on this before my brother can act as trustee/broker for my trust. Thank you!
I think I understand your question. Your brother is the Trustee for your transactions. You can do the 1099-A present 1099-B copy to the trustee He will then do the 1040v /1056OID and send to US Treasury on your behalf for the Beneficiary. Your Trustee will receive the funds and distribute it to say car dealer ,Gas Card,Ins,etc you must keep proof of expenses in case of Audit. If you over price what you need over the 20% you must spend it on something related to said vehicle. Lift kit, Rims Tires, Etc. If there is 20% left over you may keep this. Don't forget about paying the Trustee his 5% add that as well. Hope this helps.