IT-205-J: New York State Accumulation Distribution for Exempt Resident Trusts (2024)
New York · NY DTF · Used for tax years 2024
Form IT-205-J is an attachment to Form IT-205 for New York State accumulation distributions from exempt resident trusts. It calculates the accumulation distribution, related federal taxes and New York adjustments, and the beneficiary’s New York accumulation distribution modificat
Who files this form
A trust that meets the conditions of Tax Law section 658(f) must submit Form IT-205-J with Forms IT-205 and IT-205-C.
The form refers to Form IT-205-J-I for instructions on those conditions. The supplied form text does not explain the conditions in full.
What you'll need
Have these forms and details available:
- Federal Form 1041, Schedule B: Lines 10, 7, and 9 supply the amounts for Part 1.
- Forms IT-205 and IT-205-C: Submit IT-205-J with these forms.
- Trust information: The trust’s name and employer identification number (EIN).
- Throwback-year information: Distributable net income, distributions, prior accumulation distributions, federal taxes, capital gains, taxable income, and New York addition and subtraction modifications, as applicable.
- Beneficiary information: Name, identifying number, address, and shares of the amounts allocated in Part 4.
Attach additional schedules if more than five throwback years are involved.
How to file
Submit Form IT-205-J as an attachment with Forms IT-205 and IT-205-C if the trust meets the conditions of Tax Law section 658(f).
The supplied form text does not give a mailing address or instructions for filing by mail or electronically.
Common mistakes
- Using cents: The form requires whole dollars only.
- Leaving out extra schedules: Attach additional schedules when more than five throwback years are involved.
- Allocating to the wrong year or allocating too much: On line 13, allocate the line 5 amount to the earliest applicable year first. Do not allocate more than line 12 for that year.
- Completing Part 4 for an excluded year: Do not complete Part 4 for a year when the trust was subject to New York State tax or a tax year starting before January 1, 2014.
- Overlooking beneficiary exclusions: Do not complete Part 4 for a beneficiary for a year before they first became a New York State resident, before they were born or reached age 21, or if the income was already included in their gross income.
- Using the alternative-tax lines when they do not apply: Complete lines 29 through 34 only if the trust elected the alternative tax on long-term capital gain.
- Entering a negative amount on line 49: Enter 0 if line 48 is greater than line 47.
Questions people ask
How is the accumulation distribution calculated in Part 1?
Subtract line 3 from line 2. If the result is zero or less, enter 0 on line 4. Then subtract line 4 from line 1 to get the accumulation distribution on line 5.
What if the distribution is thrown back to more than five years?
Attach additional schedules. Part 2 says to start with the earliest applicable tax year beginning after 1968.
Where does a beneficiary report the line 49 amount?
Enter it on Form IT-225 as addition modification A-116. If the beneficiary received separate Part 4 forms from multiple trusts, enter the sum of line 49 from all those Forms IT-205-J.
Does the beneficiary need addition modification A-116 for an incomplete gift non-grantor trust?
No. The form states that the beneficiary does not need to make addition modification A-116 on Form IT-225 if the trust is an incomplete gift non-grantor trust.