Worksheet for Estates and Trusts: Worksheet for Estates and Trusts (2025)
Maine · Maine Revenue Services · Used for tax years 2025
This worksheet calculates the 2025 Maine Dirigo Business Incentives Tax Credit for estates and trusts. It determines the refundable and nonrefundable credit amounts reported on Form 1041ME, Schedule A, and must be enclosed with Form 1041ME.
Who files this form
Estates and trusts claiming the Dirigo Business Incentives Tax Credit (DTC) must complete this worksheet to calculate their credit for tax year 2025. This includes estates and trusts that own an interest in a pass-through entity that is a qualified business.
Qualified businesses must be certified by the Maine Department of Economic and Community Development (DECD).
If you own interests in multiple qualified businesses, complete a separate worksheet for each qualified business.
What you'll need
Have the following information ready:
- The estate or trust's name and federal employer identification number (EIN).
- The qualified business's name, federal EIN or SSN, and DECD certification number.
- The qualified business's total credit for tax year 2025.
- The first tax year you claimed, or could have claimed, the DTC under that certification number.
- For a pass-through entity, its name and ID number, your pro rata share, and a copy of the federal Schedule K-1 issued to you. Enclose the K-1 with the worksheet.
- The affiliated business ratio, if applicable, provided by the qualified business.
- Any applicable notices from the pass-through entity about layoffs or property removed from service that may affect credit carryovers or require credit recapture.
Before you complete this worksheet, the qualified business must complete and file Schedules QB and QB-1. Contact the business generating the credit for the information needed to complete your worksheet.
How to file
Enclose the completed worksheet with Form 1041ME. If you are claiming a credit through a pass-through entity, also enclose a copy of the federal Schedule K-1 it issued to you.
Report the credit amounts on Form 1041ME, Schedule A:
- Enter the refundable credit from worksheet line 12 on Schedule A, line 5.
- Enter the nonrefundable credit from worksheet line 13 on Schedule A, line 17.
If you complete multiple DTC worksheets, add their line 12 amounts and report no more than $500,000 on Schedule A, line 5. Add their line 13 amounts and report no more than $1,500,000 on Schedule A, line 17.
Common mistakes
- Do not enter amounts on lines 5 or 6. They are reserved for future use.
- Do not omit the federal Schedule K-1 when claiming a credit through a pass-through entity. The worksheet says to enclose a copy.
- Do not exceed the stated total credit limit of $2,000,000 per tax year.
- Be ready to provide supporting information. Maine Revenue Services may request additional information about the credit before processing the return.
Questions people ask
How do I determine my pro rata share on line A?
For a partnership, use your percentage interest in its taxable income or loss for federal income tax purposes for the tax year. For an S corporation, use your percentage share of stock at the end of the tax year. For an estate or trust beneficiary, use your share of federal distributable net income. If there is no distributable net income, use your share of income required to be distributed and any income actually distributed that year. Otherwise, enter 1.0000.
What tax year belongs on line 1?
Enter the first tax year you claimed, or could have claimed, the DTC under the DECD certification number shown at the top of the worksheet.
What if the partnership and partner use different tax years?
The partner must claim the credit in the partner's tax year during which the partnership's tax year generating the credit ends.
What should I enter for the affiliated business ratio on line 4?
If the qualified business belongs to a group of two or more qualified businesses that are more than 50% owned by a common owner, enter the ratio provided by the qualified business. Otherwise, enter 1.0000.
How do I split the credit between refundable and nonrefundable amounts?
For the 2025 refundable credit on line 12, enter the smaller of line 9 or line 11. For the 2025 nonrefundable credit on line 13, subtract line 12 from line 9. If the result is zero or less, enter zero. Carryover provisions apply.