Schedule K-1-T: Beneficiary's Share of Income and Deductions (Revision)
Illinois · Illinois DOR · Used for tax years 2025
Illinois Schedule K-1-T is completed by trusts or estates filing Form IL-1041 to report a beneficiary’s share of income, losses, deductions, and Illinois additions and subtractions. It also reports pass-through withholding, pass-through entity tax credits, and certain income subj
Who files this form
Schedule K-1-T is completed by trusts or estates filing Form IL-1041. It reports a beneficiary’s share of income, deductions, Illinois additions and subtractions, and other listed tax items.
If you are a beneficiary receiving Schedule K-1-T, attach it to your Illinois tax return.
What you'll need
The form uses information from:
- Form IL-1041: The trust or estate’s name and the beneficiary’s share of Illinois additions and subtractions.
- Federal Schedule K-1: The beneficiary’s share of income used in Step 4, less nonbusiness income.
- Schedule NR (Form IL-1041), if applicable: The apportionment factor from Step 6, Line 3. Otherwise, enter “1.”
- Illinois Schedule F (Form IL-1041), if applicable: Appreciation amounts reported in Step 6 for beneficiaries other than corporations.
- Illinois Schedule M (for businesses), if applicable: Other additions and subtractions.
You also need the trust or estate’s FEIN and the beneficiary’s name, mailing address, and Social Security number or FEIN.
Beneficiaries must read Schedule K-1-T(2) before using the amounts in Step 5.
How to file
The trust or estate completes Schedule K-1-T. A beneficiary who receives it should attach it to their Illinois tax return.
The supplied form does not give a mailing address or e-file instructions.
Common mistakes
- Not attaching the schedule: Beneficiaries receiving Schedule K-1-T should attach it to their Illinois tax return.
- Using Step 5 without reading the recipient instructions: The form says you must read Schedule K-1-T(2) to correctly report the amounts in Columns A and B.
- Leaving required information out: The form warns that disclosure is required and failure to provide the information could result in a penalty.
Questions people ask
Who completes Schedule K-1-T?
Trusts or estates filing Form IL-1041 complete it. Beneficiaries receiving it should attach it to their Illinois tax return.
What apportionment factor goes on Line 4?
Enter the factor from Step 6, Line 3, of Schedule NR (Form IL-1041). Otherwise, enter “1.”
Who completes Line 8b?
Only the recipient named on Line 5 completes Line 8b. It identifies whether the recipient is a grantor trust or disregarded entity and asks for the name and SSN or FEIN of the person or entity reporting the amounts.
What should I read before using Step 5?
Read Schedule K-1-T(2). The form says this is required to correctly report the amounts in Columns A and B.
Does Step 6 apply to corporate beneficiaries?
No. Step 6 covers the beneficiary’s share of Illinois August 1, 1969, appreciation amounts and specifically excludes corporate beneficiaries.