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  • 1.  Fiduciary Return

    Posted 04-14-2021 10:43 AM

    Probably a dumb question but......

    Michigan resident passes away. Estate executor is a New York resident.

    Estate has undistributed dividends and capital gains.

    State fiduciary return is filed for Michigan and/or New York?

     

    Thanks - Tom

     

    Thomas J. Burke, CPA

    81 Joludow Drive

    Massapequa Park, NY 11762

    516-799-4405 voice

    516-799-4406 fax

    tjbcpa1@yahoo.com

     

     



  • 2.  RE: Fiduciary Return

    Silver Most Valuable Member
    Posted 04-15-2021 12:12 PM

    If no NY sourced income a foreign Estate is not  taxed in NYS.  Look at the instructions for the IT 205. See below

     

    The fiduciary of a New York nonresident estate or trust or part-year resident trust must file a return on Form IT-205 if the estate or trust: – had income derived from New York State sources and had New York adjusted gross income (NYAGI); – is subject to a separate tax on lump-sum distributions; or – incurred a net operating loss for New York State income tax purposes for the tax year without incurring a net operating loss for federal income tax purposes. Income from New York State sources includes: – income attributable to the ownership of any interest in real property located in New York State (including all or a portion of the gain or loss from the sale or exchange of an interest in an entity if the entity owns real property in New York State, or owns shares of stock in a cooperative housing corporation where the cooperative units relating to the shares are located in New York, provided that the sum of the fair market values of such real property, cooperative shares, and related cooperative units equals or exceeds 50% of the fair market value of the assets the entity has owned for at least two years as of the date of the sale or exchange; for additional information, see TSB-M-18(1)I, Definition of New York Source Income of a Nonresident Individual Expanded); or tangible personal property located in New York State; – income attributable to the ownership of any interest in intangible personal property to the extent that it is used in a business, trade, profession, or occupation carried on in New York State; – income attributable to a business, trade, profession, or occupation carried on in New York State; – income from services performed in New York State; – lottery winnings over $5,000 won in the New York State lottery on or after October 1, 2000; – gambling winnings in excess of $5,000 from wagering transactions within New York State; – any gain from the sale, transfer, or other disposition of shares of stock in a cooperative housing corporation in connection with the grant or transfer of a proprietary leasehold, when the real property comprising the units of such cooperative housing corporation is located in New York State, whether or not connected with a business; and – any gain recognized by the estate or trust for federal income tax purposes from the sale or transfer of a partnership interest, where the sale or transfer: • is subject to the provisions of Internal Revenue Code (IRC) section 1060, and • occurred on or after April 10, 2017.

     The amount of the gain to be included in New York source income is determined in a manner consistent with the applicable methods and rules for allocation under Article 22 in the year that the assets were sold or transferred (for additional information, see TSB-M-18(2)I, Nonresident Partner's Treatment of Gain or Loss on Certain Sales or Transfers of a Partnership or Membership Interest). It does not include: – annuities, interest, dividends, or gains from the sale or exchange of intangible personal property, unless they are part of the income from a business, trade, profession, or occupation carried on in New York State; or – compensation received in respect of a nonresident decedent for active service in the military forces of the United States.

     

    Very truly yours,

     

    ROBERT S. BARNETT

     

     

    Long Island Office:

    100 Jericho Quadrangle, Suite 233

    Jericho, New York 11753

    516-931-8100

    Fax: 516-931-8101

     

    New York City Office:

    1385 Broadway, 12th Floor

    New York, New York 10018

    212-661-1144

    Fax: 212-643-1330

     

    www.cbmslaw.com

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  • 3.  RE: Fiduciary Return

    Posted 04-15-2021 12:47 PM

    Thanks Robert, appreciate it

     

    Thomas J. Burke, CPA

    81 Joludow Drive

    Massapequa Park, NY 11762

    516-799-4405 voice

    516-799-4406 fax

    tjbcpa1@yahoo.com

     

     






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The opinions expressed are the views of the author alone and should not be attributed to any other individual or entity and shall not constitute an accounting opinion.