My dad left cash in his New Mexico Credit Union account with the beneficiary as his trust with me as the death trustee. I set up a trust account in Texas and deposited the money there. I know I have to file a federal tax return for the trust, however I am wondering if I have to file a state tax refund since the money came from a New Mexico Credit union paid to the trustee, myself. There was no trust account in New Mexico, but the trust documentation originated in New Mexico.
States have different rules for trust "residency".
Further, if the trust had New Mexico source income it might have to file a New Mexico return.
See https://www.tax.newmexico.gov/all-nm-taxes/2020/10/23/fiduciary-income-tax-for-trusts-and-estates
Regardless, note the income threshold for filing a return (at the link above). Trust corpus (or principal) does not count; only income/gain is considered to be taxable.
States have different rules for trust "residency".
Further, if the trust had New Mexico source income it might have to file a New Mexico return.
See https://www.tax.newmexico.gov/all-nm-taxes/2020/10/23/fiduciary-income-tax-for-trusts-and-estates
Regardless, note the income threshold for filing a return (at the link above). Trust corpus (or principal) does not count; only income/gain is considered to be taxable.