561-NR-F: 2025 Form 561-NR-F Capital Gain Deduction for Trusts and Estates Filing Form 513NR (2025)
Oklahoma · Oklahoma Tax Commission · Used for tax years 2025
Oklahoma Form 561-NR-F calculates the capital gain deduction for trusts and estates filing Form 513-NR. It reports qualifying Oklahoma capital gains and losses, accounts for qualifying capital loss carryovers, and determines the deduction.
Who files this form
Form 561-NR-F is for trusts and estates filing Oklahoma Form 513-NR that claim a deduction for qualifying Oklahoma capital gains included in federal taxable income.
Qualifying gains must come from one of these types of sales:
- Oklahoma real or tangible personal property: The property must have been owned for at least five uninterrupted years before the sale.
- Stock or an ownership interest in an Oklahoma company, limited liability company, or partnership: The stock or interest must have been owned for at least three uninterrupted years before the sale.
- Oklahoma property sold as part of all or substantially all of an Oklahoma business's assets: The property must meet the stated ownership and business-use requirements for at least three uninterrupted years before the sale.
An Oklahoma company, limited liability company, or partnership must have had its primary headquarters in Oklahoma for at least three uninterrupted years before the sale.
Use only capital gains and losses that have not been distributed to beneficiaries. Do not include amounts included in the income distribution deduction on Form 513-NR.
What you'll need
Provide Federal Form 1041, Schedule D, and Form(s) 8949. Depending on the gains reported, also provide:
- Gains reported on Federal Schedule D, line 8a: Copies of Form(s) 1099-B.
- Installment sales on line 2: Federal Form 6252.
- Other qualifying gains or losses on line 3: The applicable federal forms. If those forms do not show the details, provide a schedule identifying the property's type and location, sale date, and acquisition date.
- Pass-through gains or losses on line 4: The page 2 worksheet and a copy of Federal Schedule K-1.
- Business property gains on line 5: Federal Form 4797. If the gain or loss comes from a Federal Schedule K-1, also provide that K-1 and the page 2 worksheet.
Complete a separate worksheet for each piece of property sold. The worksheet asks for the pass-through entity's name and FEIN, property description and location, acquisition and sale dates, and the dates you acquired ownership in the entity.
For line 1, have the property's description, Oklahoma address or the business's federal ID number, acquisition and sale dates, proceeds, and cost or other basis information available.
Common mistakes
- Including amounts distributed to beneficiaries. Do not include any capital gain or loss included in the income distribution deduction on Form 513-NR. Beneficiaries compute their deductions on their own returns.
- Including gains or losses covered by a pass-through entity tax election. Amounts covered by the election under the Pass-Through Entity Tax Equity Act of 2019 belong on the entity's Form 561-PTE, not this form.
- Using “VARIOUS” or “INHERITED” as the acquisition date. Even if your federal form uses those terms, enter the date you actually acquired the property in Column B.
- Counting a gain or loss twice. Do not include amounts on line 1 that are reported on lines 2 through 5.
- Entering a negative deduction. Enter zero on lines 8 or 9 if the amount is zero or less. Line 10 cannot be less than zero.
- Putting the deduction in the beneficiary section. Do not enter any portion of this deduction in Part 2, Beneficiary's Share of Income and Deductions.
Questions people ask
How much is the Oklahoma capital gain deduction?
For each of Columns F and G, line 10 is the smaller of line 8, qualifying Oklahoma net capital gain, or line 9, net capital gain. The deduction cannot be less than zero. Transfer Column F to Form 513-NR, Federal Amount column, line 16, and Column G to Form 513-NR, Oklahoma Amount column, line 16.
Does a capital loss carryover reduce the deduction?
Yes. A capital loss carryover from qualified property reduces current-year gains from eligible property. Report the qualifying carryover on line 7 and subtract it from line 6 to calculate line 8.
Can installment-sale gains qualify?
Yes. Qualifying installment-sale gains included in federal taxable income for the current year are eligible if the property met the required holding period as of the sale date. Provide Federal Form 6252.
Can gains from a pass-through entity qualify?
Yes, subject to the applicable requirements. Both your uninterrupted membership period and the entity's uninterrupted holding period for the asset must meet the applicable three- or five-year requirement. The entity must provide supplemental information identifying the qualifying capital gains. Gains or losses covered by the Pass-Through Entity Tax Equity Act election are reported on the entity's Form 561-PTE instead.