In 2026, who is responsible for filing the GST tax return and paying the GST tax on a taxable termination?

• A. The donor
• B. The beneficiary
• C. The IRS
• D. The trustee of the trust

Answer: (D)

When a trust experiences a taxable termination, the responsibility for filing the GST tax return and paying the tax falls on the trustee acting as the fiduciary of the trust. The trustee must report the termination to the IRS and use the trust’s assets to pay any GST tax due, before distributing what remains to beneficiaries. The donor isn’t liable for filing or paying the GST tax in this moment, and the beneficiaries aren’t responsible for the trust’s GST filing; the IRS is the agency that receives the return. This fiduciary duty to handle trust taxes, including the GST tax at termination, is the reason the trustee is the correct answer.