https://ttlc.intuit.com/community/business-taxes/discussion/i-am-trustee-for-a-ky-trust-the-funds-of-the-trust-are-invested-in-fl-and-i-reside-in-fl-do-i-file-a/01/393691#M14761 Tue, 04 Jun 2019 19:32:59 GMT rhondafriedman98 2019-06-04T19:32:59Z https://ttlc.intuit.com/community/business-taxes/discussion/i-am-trustee-for-a-ky-trust-the-funds-of-the-trust-are-invested-in-fl-and-i-reside-in-fl-do-i-file-a/01/393691#M14761 Tue, 04 Jun 2019 19:32:59 GMT https://ttlc.intuit.com/community/business-taxes/discussion/i-am-trustee-for-a-ky-trust-the-funds-of-the-trust-are-invested-in-fl-and-i-reside-in-fl-do-i-file-a/01/393691#M14761 rhondafriedman98 2019-06-04T19:32:59Z https://ttlc.intuit.com/community/business-taxes/discussion/this-type-of-question-comes-up-a-lot-in-my-florida-estate/01/393699#M14762 <P>This type of question comes up a lot in my Florida&nbsp;estate practice.&nbsp; Based on what you have disclosed and my research of KY law (below), you would not owe or need to report in KY or FL.&nbsp;&nbsp;Florida is one of seven states that impose no fiduciary income tax and KY would only tax you on trust income from KY(which you say there is none).</P><P>In general, states tax trusts using many of the same principles that apply to individuals. For example, a “resident” trust is typically taxed on all of its undistributed income (i.e., income that is not reported by the beneficiaries); while a “nonresident” trust is only taxed on undistributed income sourced to a particular state. Most states use a combination of the following four “Trust Factors” to determine if a trust is a resident or nonresident:</P><OL> <LI>Grantor’s state of residence (either at death or when the trust becomes irrevocable);</LI> <LI>Location of the trustees;</LI> <LI>Location of the beneficiaries; and</LI> <LI>Location of the trust assets.</LI> </OL><P> <B>A trust is considered to be a Kentucky trust if the principal place of administration of the trust takes place in Kentucky. The principal place of administration of a trust is the trustee’s usual place of business where the records of the trust are kept, or at the trustee’s residence is he has no such place of business.</B> <BR /> </P><P> <SPAN><B>Nonresident estates and trusts are subject to tax on income from Kentucky sources</B>; from activities carried on in Kentucky; from performance of services in Kentucky; from real or tangible property located in Kentucky; and from partnership or s-corporation doing business in Kentucky. Income from intangibles attributed to nonresident beneficiaries is not taxable on the Kentucky Fiduciary Return. </SPAN> <BR /> </P> Tue, 04 Jun 2019 19:33:01 GMT https://ttlc.intuit.com/community/business-taxes/discussion/this-type-of-question-comes-up-a-lot-in-my-florida-estate/01/393699#M14762 JulieH1 2019-06-04T19:33:01Z