504 Schedule K-1: Fiduciary Modified Schedule K-1 Beneficiary's Information (2025)
Maryland · Comptroller of Maryland · Used for tax years 2025
Maryland Schedule K-1 (504) reports a beneficiary's share of income distributed by an estate or trust, Maryland additions and subtractions, tax credits, certain tax payments, and net capital gains. A separate schedule is completed for each beneficiary.
Who files this form
An estate or trust uses Maryland Schedule K-1 (504) to report Maryland additions and subtractions passed on to beneficiaries and each nonresident beneficiary’s share of Maryland-source income. Complete a separate schedule for each beneficiary.
The schedule also reports taxes paid by a pass-through entity (PTE) on behalf of a trust when the fiduciary is passing the credit to beneficiaries instead of claiming it on Form 504.
Beneficiaries use the schedule to report these amounts and, when applicable, claim the credit.
What you'll need
Have the following information available:
- The estate’s or trust’s name and FEIN, plus the fiduciary’s name, title and address.
- The beneficiary’s name, identification number, address, entity type and percentage of distribution at year end.
- Resident status for an individual beneficiary or a beneficiary that is another estate or trust, and the state of domicile for a nonresident.
- The beneficiary’s share of distributed net taxable income, Maryland additions and subtractions, and any applicable credits or withholding payments.
- The beneficiary’s federal Schedule K-1 (Form 1041) for the capital gain entries in Box 9.
Depending on what is being reported, you may also need:
- Forms 504CR or 502S for tax credit amounts.
- The PTE’s name, FEIN and Maryland Schedule K-1 (510/511) when passing through a nonresident tax credit. The fiduciary must give each beneficiary a copy of that schedule to support the credit.
- Form 500DM if the beneficiary receives a Maryland decoupling modification.
A beneficiary claiming a credit shown on this schedule must attach a copy to Form 502CR, along with a copy of the Maryland Schedule K-1 (510/511) received by the fiduciary.
Common mistakes
- Do not combine beneficiaries on one schedule. Complete a separate form for each beneficiary.
- Complete Box 2 only for a nonresident beneficiary. Leave the state-of-domicile box empty for a resident.
- Do not pass through the PTE nonresident tax credit if the fiduciary is claiming that credit on Form 504.
- Report the One Maryland Economic Development Tax Credit in Box 7, not Box 6.
- Complete Box 8 only if the trust made a withholding payment for a nonresident sale of real property on behalf of the member.
- In Box 9, line 2, do not include net capital gain from a primary-residence sale totaling $1,500,000 or more. Line 3 is for resident beneficiaries only.
- Include the amounts from Box 9 on Maryland Form 502CG or Form 504CG.
- Attach a separate schedule if you need more space for any item.
Questions people ask
What amount goes in Box 1?
Enter the beneficiary’s share of net taxable income that the estate or trust actually distributed to that beneficiary.
What counts as Maryland-source income for a nonresident beneficiary?
The form lists income from real or tangible personal property in Maryland; a business carried on wholly or partly in Maryland in which the estate or trust is a PTE member; an occupation, profession or trade carried on wholly or partly in Maryland; and wagering in Maryland.
When can a trust pass through a PTE nonresident tax credit?
The fiduciary must be a fiduciary of a trust that is a PTE member, the PTE must have paid nonresident tax on its behalf, and the fiduciary must not claim the credit on Form 504. Box 5 asks for the credit amount and the PTE’s name and FEIN.
Which tax year applies if the estate or trust uses a fiscal year?
The schedule applies to the beneficiary’s tax year in which the fiduciary’s fiscal year ends. The fiduciary should enter the fiscal year in the schedule’s header.