Important: Potential Action Needed for 2025 Wisconsin Fiduciary Estimated Taxes

[IntuitRichard]

A recent Wisconsin law change expands the state's second tax bracket, which lowers the 2025 income tax liability for many fiduciaries (estates and trusts).

This is important because the 2024 ProSeries software will not reflect this change in the calculation of 2025 Wisconsin fiduciary estimated taxes.

What's Changing for 2025

For tax years beginning after December 31, 2024, Wisconsin Act 15 expands the income range for the 4.40% tax bracket. For fiduciaries (estates and trusts), the income threshold for this bracket has been raised from $29,370 to $50,480.

This means more income will be taxed at the lower 4.40% rate instead of the 5.30% rate, reducing the overall tax.

2025 Wisconsin Tax Rates (Fiduciaries, Estates & Trusts)

Taxable Income	Tax Rate
$0 – $14,320	3.50%
Over $14,320 – $50,480	4.40%
Over $50,480 – $315,310	5.30%
Over $315,310	7.65%

Potential Action Required: Recalculate 2025 Estimates

If a fiduciary's anticipated 2025 taxable income is more than the old threshold of $29,370, you'll need to manually recalculate its 2025 Wisconsin estimated tax payments to get the benefit of the expanded tax bracket.

1. Use the 2025 Wisconsin Form 1-ES worksheet and its instructions.
2. Apply the new, updated 2025 tax rates shown above.
3. Include any estimated payments already made on line 8 of the worksheet.
4. Calculate the correct amount for each remaining installment.

Reminder: The 2024 ProSeries software won't be updated with these new rates for 2025 estimate calculations. You must perform this check and recalculation manually to potentially reduce remaining 2025 estimated tax payments.

For More Information

• Official Instructions: 2025 Wisconsin Form 1-ES Instructions
• Tax Bulletin: Wisconsin Tax Bulletin 230 (July 2025)