Schedule CT-1041FA: Fiduciary Allocation (2025)
Connecticut · Connecticut DRS · Used for tax years 2025
Schedule CT-1041FA, Fiduciary Allocation, reports a trust or estate’s and its beneficiaries’ shares of income from Connecticut sources and PE tax credits. It also calculates allocated Connecticut income tax for nonresident estates and trusts and part-year resident trusts and is a
Who files this form
Complete Schedule CT-1041FA and attach it to Form CT-1041 when filing for any of the following:
- A nonresident trust or estate with income derived from or connected with Connecticut sources.
- A part-year resident trust.
- A resident trust or estate with a nonresident beneficiary.
- A resident inter vivos trust with one or more nonresident, noncontingent beneficiaries.
- A resident trust or estate with only resident beneficiaries that is claiming a PE Tax Credit.
Also complete and attach Schedule CT-1041 ESBT if applicable.
What you'll need
Have these forms and details available, as applicable:
- Federal Form 1041 and its schedules, including Schedules A and B, for income, deductions, and distributable net income.
- Form CT-1041 and Schedule CT-1041B, for the Connecticut return, fiduciary adjustment, and beneficiary shares.
- Trust or estate identification, including its name, address, and federal employer identification number (FEIN).
- Beneficiary information, including names, addresses, Social Security numbers or FEINs, and Connecticut residency status.
- Schedule CT-PE, if claiming a PE Tax Credit. A copy must be attached to Form CT-1041.
- The federal ESBT Tax Worksheet and Schedule CT-1041 ESBT, if applicable. Attach these to the return.
- Federal Schedule K-1 and Schedule CT K-1, if received from a partnership, S corporation, trust, or estate.
- Business or farm books and records, if needed to determine Connecticut-source income.
A part-year resident inter vivos trust with one or more nonresident, noncontingent beneficiaries should also create a worksheet showing the portion of Part 3, Column B attributable to non-Connecticut-source income during the residency portion of the year.
How to file
Complete the schedule in the order that applies to the trust or estate:
- Resident trust or estate with one or more nonresident beneficiaries: Complete Part 3, then Part 2.
- Resident trust or estate with only resident beneficiaries: Complete Part 2, Column 4, if applicable.
- Nonresident trust or estate, or part-year resident trust: Complete Part 3, then Part 2, then Part 1.
Attach Schedule CT-1041FA to the back of Form CT-1041. If completing Part 1, carry the allocated Connecticut tax from Line 12 to Form CT-1041, Line 3.
The schedule can be filed electronically. The form directs filers to myconneCT at portal.ct.gov/DRS-myconneCT. No mailing address is provided in the supplied text.
The fiduciary must provide each beneficiary with Schedule CT-1041 K-1, Beneficiary’s Share of Certain Connecticut Items.
Common mistakes
- Using federal line references without checking them. Verify federal Form 1041 line references when completing this schedule.
- Leaving out Schedule CT-PE. If claiming the PE Tax Credit, attach a copy to Form CT-1041 or the credit will be disallowed.
- Allocating the PE Tax Credit using federal distributable net income shares. The instructions say this credit allocation is not based on those shares. Part 2, Column 4’s total should equal Schedule CT-PE, Line 1.
- Listing beneficiaries in a different order. Use the same order in Part 2 as on Schedule CT-1041B, Part 1.
- Completing Part 1, Lines 5 through 8 when they do not apply. These lines are only for part-year resident inter vivos trusts with one or more nonresident, noncontingent beneficiaries.
Questions people ask
Can Schedule CT-1041FA be filed electronically?
Yes. The form says it can be filed electronically and directs filers to myconneCT at portal.ct.gov/DRS-myconneCT.
What tax rate is used in Part 1?
Multiply Line 9 by 6.99% to calculate Line 10. If Line 9 is zero or less, enter zero. Then multiply Line 10 by the allocation decimal on Line 11 to calculate the allocated Connecticut tax on Line 12.
Are resident beneficiaries taxed only on their Connecticut-source share?
No. The instructions state that a resident beneficiary’s entire distributable share of trust or estate income, not just the Connecticut-source portion, is included in Connecticut adjusted gross income.
What income does a part-year resident trust include in Part 3, Column B?
Include all income during the residency portion of the year and income derived from or connected with Connecticut sources during the nonresidency portion. Also include all items of special accruals.