IT-205-J: New York State Accumulation Distribution for Exempt Resident Trusts (2025)
New York · NY DTF · Used for tax years 2025
Form IT-205-J is an attachment to Form IT-205 for New York State accumulation distributions from exempt resident trusts. It calculates accumulation distributions, related federal taxes and New York adjustments, and allocates amounts to beneficiaries to determine their New York ac
Who files this form
Form IT-205-J is for exempt resident trusts. The form directs a trust that meets the conditions of Tax Law § 658(f) to submit it with Forms IT-205 and IT-205-C.
The form refers filers to the separate Instructions for Form IT-205-J for those conditions. Those instructions were not provided here.
What you'll need
Have these forms and details available to complete IT-205-J:
- Forms IT-205 and IT-205-C, which must be submitted with IT-205-J when the trust meets the stated filing conditions.
- Federal Form 1041, Schedule B. Part 1 uses amounts from lines 10, 7, and 9.
- The trust’s name and employer identification number (EIN).
- Information for the applicable throwback years, including distributable net income, distributions, prior accumulation distributions, federal taxes, capital gains, and taxable income.
- Federal tax-exempt interest and New York addition and subtraction modification amounts.
- Each beneficiary’s name, identifying number, address, and share 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 § 658(f).
The form is organized into four parts:
- Part 1: Calculate the accumulation distribution using the listed federal Form 1041, Schedule B amounts.
- Part 2: Calculate the ordinary income accumulation distribution for the applicable throwback years.
- Part 3: Calculate federal taxes imposed on undistributed net income.
- Part 4: Allocate amounts to the beneficiary, unless one of the form’s exceptions applies.
The supplied form does not give a mailing address or e-filing directions.
Common mistakes
- Using cents: Enter whole dollars only.
- Omitting extra schedules: Attach additional schedules when more than five throwback years are involved.
- Allocating to the wrong year: On line 13, allocate the line 5 amount to the earliest applicable year first. Do not allocate more than line 12 for that year.
- Using the wrong capital-gains tax calculation: Complete lines 29 through 34 only if the trust elected the alternative tax on long-term capital gain. If that election applies, skip lines 21 through 28.
- Entering a negative modification: On line 49, enter 0 if line 48 is greater than line 47.
- Overlooking the beneficiary exception: No addition modification A-116 is required on the beneficiary’s Form IT-225 if the trust is an incomplete gift non-grantor trust.
Questions people ask
How is the accumulation distribution calculated?
Part 1 subtracts line 3 from line 2 and enters the result on line 4, using 0 if the result is zero or less. Line 5 then subtracts line 4 from line 1 to calculate the accumulation distribution.
When should Part 4 be skipped for a throwback year?
Do not complete Part 4 for a year when the trust was subject to New York State tax or for a tax year starting before January 1, 2014. Also, do not complete it for a beneficiary for a year before the beneficiary first became a New York State resident, before the beneficiary was born or reached age 21, or if the income was already included in the beneficiary’s gross income.
Where does the beneficiary report the final amount?
The beneficiary enters the line 49 amount on Form IT-225 as addition modification A-116. No A-116 addition is required if the trust is an incomplete gift non-grantor trust.
What if a beneficiary receives Part 4 from more than one trust?
The form directs the beneficiary to enter the sum of line 49 from all Forms IT-205-J on Form IT-225, subject to the incomplete gift non-grantor trust exception.