Q. My stepmother is in a nursing home. She qualified for Medicaid through a sell-down of all her assets. She receives a government pension as well as income from my late father’s pension. This money is put into a qualified income trust (QIT) and 100% is provided to the nursing home. I was told by the Medicaid office that she should have no withholding for taxes. The problem is at the end of the year when filing her taxes, she owes money to the IRS. She has no money in her bank account to pay an accountant or to pay these taxes. Should she have to pay taxes when 100% of her income goes to the n…