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Level 3
April 24, 2021
Solved

On Estate and Trust K-1 Detail Page it says "Fiduciary Addition" for state tax return

  • April 24, 2021
  • 2 replies
  • 12 views

What does that mean?

I am trying to figure in which direction it should go on the state income tax return. Is it an addition to income as the second half of the name would suggest? Or a fee as the first half suggests?

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Best answer by BobKamman

Added back to income for the state -- either income not taxed on the federal (like tax-free bonds from the wrong state) or a deduction not allowed by the state (like state taxes).  

2 replies

IRonMaN
Level 15
April 24, 2021

Sounds like you have something to add back on the beneficiaries' state income tax return.

Slava Ukraini!
BobKamman
BobKammanAnswer
Level 15
April 24, 2021

Added back to income for the state -- either income not taxed on the federal (like tax-free bonds from the wrong state) or a deduction not allowed by the state (like state taxes).