26 U.S.C. § 6034A: Information to beneficiaries of estates and trusts

who receives a distribution from such estate or trust with respect to such taxable year, or to whom any item with respect to such taxable year is allocated, shall furnish to the estate or trust, in the manner prescribed by the Secretary, the name and address of such other person, and any other information for the taxable year as the Secretary may by form and regulations prescribe, and shall furnish in the manner prescribed by the Secretary to such other person the information provided by the estate or trust under subsection (a). A beneficiary of any estate or trust to which subsection (a) applies shall, on such beneficiary’s return, treat any reported item in a manner which is consistent with the treatment of such item on the applicable entity’s return. the applicable entity has filed a return but the beneficiary’s treatment on such beneficiary’s return is (or may be) inconsistent with the treatment of the item on the applicable entity’s return, or the applicable entity has not filed a return, and the beneficiary files with the Secretary a statement identifying the inconsistency, demonstrates to the satisfaction of the Secretary that the treatment of the reported item on the beneficiary’s return is consistent with the treatment of the item on the statement furnished under subsection (a) to the beneficiary by the applicable entity, and elects to have this paragraph apply with respect to that item. described in subparagraph (A)(i)(I) of paragraph (2), and in which the beneficiary does not comply with subparagraph (A)(ii) of paragraph (2), The term “reported item” means any item for which information is required to be furnished under subsection (a). The term “applicable entity” means the estate or trust of which the taxpayer is the beneficiary. For addition to tax in the case of a beneficiary’s negligence in connection with, or disregard of, the requirements of this section, see part II of subchapter A of chapter 68.