- 3 -
|
2. A list of all beneficiaries, including a. Based on the subdivision in which the
remaindermen, their domiciliary addresses for the trust is principally administered; or
taxable year, and the applicable social security or
b. If the trust is not principally administered
employer identification numbers. Clearly indicate
in this State, based on the subdivision in which:
whether the beneficiaries are income beneficiaries,
remaindermen, or both. (1) The decedent was domiciled on the
date of death, if the fiduciary is a resident under
3. A list of the amount of intangible income
Section II.B.2.a.; or
accumulated for each beneficiary identified in 2.
(2) The creator or grantor is a current
4. A list of all persons who possess a power
resident, if the fiduciary was a resident under
of appointment over the trust assets.
Section II.B.2.b.
The nonresident beneficiary subtraction is denied
B. Special Nonresident Tax.
if a fiduciary claiming the subtraction modification
fails to submit the documentation. For taxable years beginning after December 31,
2003, a nonresident fiduciary is subject to the
D. Due Dates
special nonresident tax under § 10-106.1 of the
A fiduciary who must file a Maryland fiduciary Tax-General Article, which is imposed at a rate
income tax return, Form 504, shall file the return: equal to the lowest county income tax rate set by
any Maryland county.
1. On or before April 15th of the next taxable
year; or V. Estimated Tax Returns
2. If the income tax is computed for a fiscal A. Requirement to File
th
year, on or before the 15th day of the 4 month
1. In General
after the end of that year.
A fiduciary who reasonably expects
E. Extensions
estimated income tax for a taxable year on income
A fiduciary may request an automatic 6-month not subject to withholding (employer wage
extension of time to file the Maryland fiduciary withholding, or other payments subject to
income tax return, Form 504. The fiduciary shall withholding, see Subtitle 9 of the Tax-General
file the request by filing Maryland Form 504E. Article of the Maryland Code Annotated) to exceed
$500 shall file a declaration of estimated income
IV. Local Income Tax or Special Nonresident
tax.
Tax
2. Exception
A. Local Income Tax
A fiduciary who is a personal representative
Resident fiduciaries, including fiduciaries of
of an estate is not required to file an estimated tax
estates and trusts, are required to pay the local or
return for any taxable year ending before the date
county income tax imposed under Title 10 of the
which is 2 years after the date of the decedent's
Tax-General Article. Section 10-103 of the Tax-
death.
General Article sets forth the rules for determining
the county the fiduciary must use in computing and B. Computation
reporting the tax.
A fiduciary may use the federal method of
1. A Personal Representative annualization of income in computing estimated
tax.
A personal representative of an estate must
compute and report the local income tax using the C. Forms
rate for the subdivision where the decedent was
A fiduciary that is making an initial payment of
domiciled on the date of death.
estimated tax should use a Form 504D. Form 504D
2. Fiduciaries Other Than Personal should be used for additional quarterly payments as
Representatives well. For each tax year, the fiduciary should use
the estimated tax worksheet on Form 504D to
Fiduciaries, other than personal representatives,
compute total projected estimated tax and the
must compute and report the local income tax:
|