N-40 Sch. D: Capital Gains & Losses (Form N-40) (2025)
Hawaii · Hawaii DoTax · Used for tax years 2025
Hawaii Schedule D (Form N-40) reports an estate’s or trust’s short-term and long-term capital gains and losses and attaches to the Fiduciary Income Tax Return. It also calculates capital loss limitations, loss carryovers, and tax using the maximum capital gains rate when applicab
Who files this form
Schedule D (Form N-40) is used to report an estate’s or trust’s capital gains and losses. The 2025 schedule is attached to the Fiduciary Income Tax Return, Form N-40.
What you'll need
Have the estate’s or trust’s name, federal employer identification number, and Form N-40 available.
For property sales, gather the information requested on the schedule:
- A description of each property.
- The dates acquired and sold.
- Gross sales price.
- Adjusted cost or other basis, plus selling expenses.
Depending on the items you report, you may also need:
- Federal Forms 2439, 4684, 6252, 6781, and 8824, as applicable.
- Gain or loss information from partnerships, S corporations, and other estates or trusts.
- Capital gain distribution information.
- Schedule D-1, Part I, line 8 or 10, if applicable.
- The 2024 Schedule D, lines 28 and 35, for capital loss carryovers.
- Gain information for stock acquired through stock options from qualified high technology businesses.
- Form N-158, line 4e, if you completed that form and are completing Part VI.
How to file
Attach the completed 2025 Schedule D to the estate’s or trust’s Fiduciary Income Tax Return, Form N-40.
Common mistakes
- Completing the wrong parts: If lines 16 and 17, column (b), are both net gains, go to Part VI and do not complete Parts IV and V.
- Skipping the carryover calculation: Complete Part V if the net loss on line 17, column (c), is more than $3,000, or if Form N-40, line 22, shows taxable income of zero or less.
- Missing final-return entries: If this is the final return of the trust or decedent’s estate, also enter the short-term carryover from line 28 on Schedule K-1 (Form N-40), line 8b, and the long-term carryover from line 35 on line 8c.
- Forgetting the Schedule D checkbox: When transferring the tax from line 45 to Form N-40, Schedule G, line 1, check the “Schedule D (Form N-40)” box.
Questions people ask
What is the difference between short-term and long-term gains and losses?
Short-term applies to assets held one year or less. Long-term applies to assets held more than one year.
Where do I report the total net gain?
If line 17, column (c), is a net gain, enter it on Form N-40, line 6.
How much of a net capital loss goes on Form N-40?
Line 18 uses the smaller of the net loss on line 17, column (c), or $3,000. Enter that amount as a loss on Form N-40, line 6.
Which years does the carryover calculation cover?
Part V calculates capital loss carryovers from 2025 to 2026. Line 28 gives the short-term carryover, and line 35 gives the long-term carryover.