This is from Maryland website: Maryland follows the federal income tax treatment for fiduciaries of trusts and estates. Under the federal income tax rules, generally any income that is distributed by the fiduciary of the trust or estate during the tax year is not taxable to the trust or estate. Instead, that income is taxable to the beneficiary. Any income not distributed or partially distributed by the fiduciary of the trust or estate during the tax year is taxable to the fiduciary of the trust or estate.
Based on this information do you think only a 1041 needs to be filed and the income would then be automatically distributed to respective state tax returns? I could then not have to prepare the 504 for Maryland even though have received trust interest income and 1099 for Maryland?
