Schedule CT-ESBT: Connecticut Electing Small Business Trust Income Computation (Revision 2024-12)
Connecticut · Connecticut DRS · Used for tax years 2024
Schedule CT-1041 ESBT computes income and deductions for the S portion of an electing small business trust. It reports amounts from the federal ESBT tax worksheet alongside Connecticut-sourced amounts to calculate taxable income.
Who files this form
Schedule CT-1041 ESBT is for computing Connecticut income for an electing small business trust (ESBT). It includes a calculation of taxable income for the trust’s S portion. The supplied form does not state specific mandatory filing criteria.
What you'll need
Have the following information and documents available:
- The trust or estate’s name and Federal Employer ID Number (FEIN).
- The federal ESBT tax worksheet amounts for Column A and Connecticut-sourced amounts for Column B.
- Schedule K-1 (Form 1120-S) information for other income or losses and allowable deductions.
- Schedule D (Form 1041), which Line 3 directs you to attach for capital gains.
- Form 8995 or 8995-A, which Line 11 directs you to attach for the S portion’s qualified business income deduction.
- Amounts for administrative expenses, state and local income taxes allocated to the S portion, interest on debt used to acquire S corporation stock, and charitable contributions.
How to file
Complete the schedule in blue or black ink. Enter federal ESBT tax worksheet amounts in Column A and Connecticut-sourced amounts in Column B.
Add Lines 1, 2a, 3, and 4 to calculate total income on Line 5. Add Lines 6 through 11 for total deductions on Line 12. Subtract Line 12 from Line 5 to calculate taxable income on Line 13.
Include the Connecticut-sourced amount from Line 13, Column B on both Schedule CT-1041C, Line 7 and Schedule CT-1041FA, Line 4a.
The form says to submit the correct year’s form to the Connecticut Department of Revenue Services (DRS), but it provides no mailing address or e-filing directions. The supplied copy is marked “DRAFT.”
Common mistakes
- Using the wrong year’s form. The form warns that each form is year-specific and that submitting the correct year’s form helps prevent processing delays. This edition is for tax year 2024.
- Using ink other than blue or black. The form requires blue or black ink only.
Questions people ask
What goes in Columns A and B?
Column A is for amounts reported on the federal ESBT tax worksheet. Column B is for Connecticut-sourced amounts.
Do I add qualified dividends separately when calculating total income?
The printed calculation for Line 5 adds Lines 1, 2a, 3, and 4. It does not add Line 2b separately.
What if my charitable contribution deduction includes a prior-year carryover?
Check the box on Line 10 if the deduction includes a prior-year carryover.
Where do I carry the Connecticut taxable income amount?
Include Line 13, Column B on Schedule CT-1041C, Line 7 and Schedule CT-1041FA, Line 4a.