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rlb1920
Returning Member

Where/how to allocate K-1 trust income to a non-resident state?

I am a Maryland resident, with some (first-time) income from Ohio estate trusts as described on K-1s received for Ohio.  Have completed all federal income/deduction/other entries via the TT (Windows desktop version) step-by-step screens.

 

Need help finding the step-by-step dialog screens for allocating (to Ohio) the income received from the Ohio trusts.  I found relevant screens a few days ago, but cannot retrace the path to them now.  Is an easy step-by-step entry point available?

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2 Replies

Where/how to allocate K-1 trust income to a non-resident state?

@rlb1920 you would not pay tax to Ohio as you are a non-resident of Ohio.  You would pay tax on that income to MD as you are a resident.   Just key in the K-1 and let the entries flow to your MD tax return. 

 

Why do you think you'd pay tax in Ohio? 

rlb1920
Returning Member

Where/how to allocate K-1 trust income to a non-resident state?

Thanks for replying.  I'm certain as to the part (in my question) about needing to file/pay for income that is taxable in Ohio.  The three trusts are part of the estate of a lifelong Ohio resident.  They were established in Ohio and their administration/fiduciary remains Ohio-based.  The accountant for the trusts has provided Schedules K-1 and Forms Ohio IT K-1 for use in preparing my personal tax returns.

 

After posting my question, I found a way back to a TT24 (Windows) screen, in the Ohio step-by-step thread, titled "Income Allocations", but it asks only about Federal and Ohio apportionment totals for "Wages, salaries, tips, guaranteed payments" and for "Nonbusiness income (loss) from rental and royalty activity".  A following screen titled "Business Apportionment Summary" concerns only "Business/Farm" income.

 

What's missing (I think) is a step-by-step screen for apportionment of income received from an out-of-state fiduciary trust -- e.g., interest, dividends, capital gains and real estate operating income -- unless the categories described above are intended to cover everything reflected in the trusts' "fiduciary filing" with Ohio.

 

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