Category talk:Trusts

From TaxAlmanac

Am looking for information to determine where (which state) to file a trust tax return. Historically a trust , the trustee and beneficiaries were all located in the same state and generally the return is filed in the state where the trustee is located. Today, however, we are seeing trusts created by a grantor in one state, the beneficiaries are in a second state and the trust company is in a third state. The question arises as to where the state tax return should be filed. This is especially significant when the trusts assets are investment accounts only. And, by the way, the investment advisor could be in any one of the three locations. primarily I'm talking about small trusts, small trust companies and a fee only invested advisor - no big multistate companies involved. I recognize the trust document could dictate this but at best I've seen a declaration that the trust should be administered according to a specific state's law. I do not know if that statement would encompass the filing of the state return. Many trusts are silent on the matter.