Overview
A Trust is a Vermont Resident if:
- any portion of the trust consists of property that was transferred to it by a person who was a Vermont resident when the trust became irrevocable; or
- the trust is and remains revocable, any portion of the trust consists of property that was transferred to it by a person who was a Vermont resident; or,
- any portion of the trust consists of property that was transferred by the will of a Vermont domiciled decedent.
How to File
A return must be filed for every estate and trust required to file federal Form 1041, U.S. Income Tax Return for Estates and Trusts. A return must also be filed for any Section 468B designated and qualified settlement funds are required to file a Federal Form 1120-SF, U.S. Income Tax Return for Settlement Funds, and:
- that earned or received more than $100 of Vermont income or
- that earned or received $1,000 or more in gross income from the sources listed under Vermont portion on Schedule E.
A return must also be filed for an Electing Small Business Trust required to file a Federal 1041. A filer may be entitled to certain state incentives or credits.
If the above requirements apply to you, then you must file Vermont Form FIT-161, Fiduciary Return of Income. It may be necessary to file more than one fiduciary return while the estate remains open and continues to receive income.
Online
Taxpayers may file returns and pay tax due using myVTax, our free, secure, online filing site. If you have any questions, contact us at (802) 828-6802 or tax.estate@vermont.gov.
You may make estimated payments as a non-login payment in myVTax. Simply follow the link, and select Make a Payment in the business menu at the bottom of the page. Please follow the instructions, and select Fiduciary Income Tax as the account type.
Paper Returns
If you cannot file and pay through myVTax, you may still use the paper forms.
Estimated Payments
Estimated payments for Fiduciary Income Tax are required. For more information, see 32 V.S.A. § 5852. We strongly encourage you to use myVTax to make your estimated payments. You can make an estimated payment using ACH debit without logging into your account. If you cannot pay through myVTax you may mail your personal check, cashier’s check, or money order payable to the Vermont Department of Taxes:
Vermont Department of Taxes
PO Box 1779
Montpelier, VT 05601-1779
Forms and Publications
| No. | Instructions | Title |
|---|---|---|
| FIT-K-1VT-F | Instructions | Beneficiary Information for Fiduciaries |
| FIT-160 | Fiduciary Income Tax Return Payment Voucher | |
| FIT-161 | Instructions | Fiduciary Return of Income |
| FIT-162 | Instructions | VT Capital Gains Exclusions for Estates or Trusts |
| FIT-165 | Fiduciary Estimated Tax Payment Voucher | |
| FIT-166 | Instructions | VT Income Adjustments and Tax Computation for Fiduciaries |
| FIT-167 | Instructions | VT Credit for Tax Paid to Other State or Canadian Province for Fiduciaries |
| FIT-168 | Application for Extension of Time to File Vermont Fiduciary Tax Return |
LAWS, REGULATIONS AND GUIDANCE
32 V.S.A. § 5852 Payment of estimated income tax