Schedule ESBT (Form 41 Only): Worksheet for Electing Small Business Trust (2025)
Alabama · Alabama DOR · Used for tax years 2025
Alabama Schedule ESBT is a worksheet for electing small business trusts using Form 41. It separates ESBT and non-ESBT income and deductions, calculates adjusted total income or loss, and identifies the ESBT amount to enter on Form 41.
Who files this form
Schedule ESBT is the worksheet for an Electing Small Business Trust and is labeled for use with Form 41 only. The supplied form does not state detailed filing requirements.
What you'll need
Have the following information ready to complete the worksheet:
- The trust’s name, FEIN, address, and tax-year beginning and ending dates.
- Names and FEINs for the sources of income.
- Income and deduction amounts, separated into Non-ESBT and ESBT columns.
- Ordinary gain or loss from Form 4797, if reporting an amount on line 8.
- Explanations to attach for deductions reported on lines 16 and 17.
Common mistakes
- Do not leave out the attached explanation for line 16, other deductions not subject to the 2% floor.
- Do not leave out the attached explanation for line 17, allowable miscellaneous itemized deductions subject to the 2% floor.
- Remember to enter the ESBT adjusted total income or loss from line 19b on Form 41, page 1, line 6.
Questions people ask
What are the worksheet’s three columns?
Column A is Non-ESBT, column B is ESBT, and column C is Total.
How do I calculate total income and ordinary deductions?
Add lines 1 through 9 to get total income or loss on line 10. Add lines 11 through 17 to get total ordinary deductions on line 18.
How do I calculate adjusted total income or loss?
Subtract line 18 from line 10 in each column. Report the Non-ESBT result on line 19a, the ESBT result on line 19b, and the total result on line 19c.
Where does the ESBT result go on Form 41?
Enter the amount from Schedule ESBT, line 19b, on Form 41, page 1, line 6.