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Form 1041ME-Inst Fillable General Instructions
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A completed copy of federal Form 1041 must accompany amounts received from a Holocaust Gross income greater than $10 000 for the taxable year If the federal income (federal Form 1041 line 9) is greater income taxes imposed by Maine or other states and interest or interest income and capital gains from the sale of bonds issued Maine tax additions (see Maine Schedule A Section 1); Maine taxable income; or Safe Harbor resident beneficiaries) Safe Harbor resident statuses the amount the amount of loss deductions the amount of military The fiduciary or trustee of a resident or nonresident estate or trust up to $750 of property tax benefits provided by municipalities to $1 000 or more or an unusual event has occurred Generally payments $10 150 but less than $20 350 $329 plus 7 0% of excess over $10 150 $20 350 or more $1 043 plus 8 5% of excess over $20 350 $5 100 but less than $10 150 $102 plus 4 5% of excess over $5 100 (2) The tax paid to the other jurisdiction is directly related to the (207) 624 7894 Every day 24 Hours (3) The income taxed by the other jurisdiction is derived from (as if the estate or trust were a nonresident estate or trust) in order (CC) or for individual owners of certain electing S corporations (FAQ) electronic tax assistance download Maine tax forms (Please show negative income amounts on your form by placing a minus sign in the box to the left of the amount ) 1041 with Form 1041ME For other returns that have a 1041ME 1041ME for the year(s) you are amending and check the amended 1041ME Then complete Form 1040ME through line 23 Enter the 1060 Augusta ME 04332 1060 1099 forms Only send 1099 forms if there is State of Maine income tax 2 (owners of pass through entities enter the share of the amount 2 of the Maine individual income tax booklet for a description of 2010 recovery amounts included in federal taxable income related 2012 on the sale of real estate in Maine Enclose a copy of Form REW 1 25% Both penalties are assessed when the return is fi led late 2a on Form 1099 R issued by MePERS Also enter on this line 4:30 p m 5122(1)(FF)(2) 5200 A(1)(N) or 5200 A(1)(Y)(2) may be recaptured 5122(2)(O)) account proceeds from a Family Development Account 6 the amount from Schedule NR line 4 column B For lines a 8480 Weekdays 8:00 a m 5:00 p m or send an email to estate a financial institution subject to the Maine franchise tax that are A resident estate is the estate of a decedent who at death was A resident irrevocable inter vivos trust is a trust which was created a schedule attached to the return A State of Maine extension request form is not required If you a tax balance due currently being collected by Maine Revenue a transmittal for Form 1040ME In the top margin of Form 1040ME accordance with Schedule 2 on page 2 of Form 1041ME If any of the account number can be up to 17 digits long (both numbers and ACCOUNTING PERIODS AND METHODS activities deduction used to reduce federal taxable income added to income under 36 M R S A 5122(1)(N) 5122(1)(AA) addition modification is required on this line Enclose a copy of the federal additions only (36 M R S A 5122(3) and 5164) List the source adjustment subtractions only (36 M R S A 5122(3) and 5164) administered by FAME (36 M R S A 5216 C) state income tax after the original due date of the return against their individual income tax liability on the Maine return allocated in accordance with this paragraph show the allocation in also applies to the Maine return Also enter the person s name phone number and any 5 digit number the Also include on this line the amount from the worksheet for Rehabilitation amended Maine return within 180 days after the fi nal determination amount due enter it on line 8b and submit payment for the entire balance amount from Form 1040ME line 23 on line 4 of Form 1041ME amount of loan payments made by employers included in federal Amount of refund directly deposited to a checking account You amount of the add back on line 1f must be subtracted from the basis of amount of unrelated business taxable income from federal Form 990 T and amounts included in federal adjusted gross income deferred for an email to compliance tax@maine gov to report possible tax an itemized deduction on the decedent s federal income tax return and bonds issued by a Maine airport authority You must include and failure to pay penalties To file an amended return use Form and instructions pay your tax or email tax related questions and notes and of the estate/trust in the Maine fiduciary adjustment are in and other expenses of a financial institution subject to Maine and the tax is paid late The law also provides for penalties for the any extension payment made for this return Any person who prepares a taxpayer s return for compensation any tax credits (except withholding and estimated tax payments) are paid and for which a credit is being claimed Enclose a copy are reported on federal Form 5884 line 2 or federal Form 8844 line are unable to file your return by the original due date of the return as a nonresident trust if the creator of the trust is not domiciled in as Maine source income is determined for nonresidents of assessed for late filing A separate penalty is assessed for the late assigned by the IRS If the return is prepared by a firm or corporation Assistance to help you with your tax questions: (207) 626 at death shall be considered a nonresident estate or nonresident at www maine gov/revenue/forms or call (207) 624 7894 to order the attach supporting documentation when claiming an amount on this attached to the return distributions from a private venture capital avoid the failure to pay penalty Interest is charged on any tax paid avoid the penalty for late payment of tax Any remaining tax must BANKRUPTCY be paid when the return is filed by the extended due date in order to beneficiaries in proportion to their respective shares of federal beneficiaries must be split amount beneficiaries based on each benefi ciary s benefits (tier 1 and tier 2) issued by the U S Railroad Retirement benefits issued by the U S Government and railroad retirement Board Also unemployment and sick benefits issued by the Railroad by a nonresident servicemember to the extent not included in the by or consisted of property of a person domiciled in Maine at the by the Canadian Railroad Retirement Board are taxable to Maine by the Internal Revenue Service or if the Maine tax liability changes calculated on the remaining property basis The amount entered on this line capital gain or loss attach pages 1 and 2 and Schedule D character as it does for federal income tax purposes claimed as a deduction in determining federal gross income that is claimed on the federal return To calculate this addition modification the Collection problems and payment plans: (207) 621 4300 Column 1 Enter the name of each beneficiary of the estate or trust Column 2 Enter the respective shares of federal distributable net Column 3 Determine the percentage share for each beneficiary and Column 6 Nonresident estates or trusts enter on line g column Column 6 the amount from Schedule NR line 4 Column B Follow Columns 4 and 5 Enter the state of domicile and the social security Complete a separate Schedule 3 for each jurisdiction to which taxes conditions are met: construction fund income from investments in the Northern Maine contributions ( MePERS ) These contributions are tax deferred created by the last will and testament of a decedent who at death credit Credit or the federal Empowerment Zone Credit These amounts Credit under 36 M R S A 5216 D the amount deducted at the deducted as a business or other expense for federal tax purposes DEFINITION OF RESIDENT AND NONRESIDENT ESTATE OR direct obligations of the United States Government such as disregarded as separate from its owner up to $6 000 in pension distributable net income (DNI) and Maine source income of distributable net income The income as allocated has the same do not enter wage amounts from Form 8844 related to the federal documentation for another schedule or worksheet Legible photocopies of documentation when claiming an amount on this line Domicile of the decedent grantor or settlor determines residency domiciled in Maine A resident testamentary trust is a trust which is download Form 1041ES ME (and the instructions for Form 1040ES ME) due whichever is greater If a tax return is not filed upon demand Enter the bonus depreciation claimed on the federal return relating equal to the net increase in depreciation resulting from bonus depreciation equals the amount that the federal depreciation claimed less the amount on Estates and trusts subject to Maine income tax are required to make example enter interest from City of New York but not Portland Maine examples visit www maine gov/revenue/forms (select Income Tax expenses incurred in the production of income exempt from Maine extension to file your Maine return is not an extension for EXTENSIONS Failure to comply with these requirements could result in failure to file federal fiduciary income tax purposes that is also used to determine federal level for qualified tuition and other educational expenses FEDERAL RETURN REQUIRED federal tax purposes but not Maine tax purposes during 2009 or for any other reason the fiduciary must report the changes on an For bankruptcy estates (chapter 7 or 11) use Form 1041ME as for federal tax but are subject to Maine income tax for late payment of the tax is 1% per month up to a maximum of For more information on Maine additions to and subtractions from federal taxable income visit www maine/gov/revenue for Qualified Funeral Trust on page 1 of Form 1041ME and enter the for the estate/trust based on the amounts in column 2 for this line subtract the amount in box 14 from the amount in box FORM 1041ME GENERAL INSTRUCTIONS Form 2210ME and attach it to the return If Form 2210ME shows a penalty Form 4562 along with the add back calculation with the return For more forms Forward and Extension Payments Enter the total amount of estimated forward that has been previously used to offset Maine addition franchise tax that are included in federal taxable income due to an from federal requirements in that Maine 1041 estimate payments from federal tax (an example is expenses related to the production from line 3 of these forms to the extent not included on line 2) Note: fund of the refundable portion of the credit received by the fund gain interest dividends royalties and other items of income of Gross income equals the amount on federal Form 1041 line 9 The Guidance Documents) Guidance Documents) Also enter on this line to the extent included harbor resident beneficiaries must also complete Schedule NR higher dollar any amount 50 cents or more if and when the creator of the trust becomes domiciled in Maine if electing to have all or a portion of the overpayment on line 9 credited to If the amount of the federal taxable income is changed or corrected If the amount owed (line 6 minus line 7a) is $1 000 or more complete If the estate or trust has no federal distributable net income the share If the settlor of a revocable inter vivos trust is domiciled in Maine If the taxable income is: The tax is: If you meet the criteria of a qualified funeral trust at the federal level in accordance with 10 USC Chapter 73 discharge of indebtedness in federal adjusted gross income military compensation received in full with the return Remit your payment using Maine EZ Pay at www include the taxpayer s distributive share of subtraction modification included in federal taxable income due to an ownership interest in including nonresident and safe harbor resident beneficiaries Enter income adjustments apply complete these schedules before proceeding income and failure to register for tax filing income Maine income tax name social security number and whether income not altocable to beneficiaries shall be allocated to income of each beneficiary and of the estate/trust on the appropriate income of the estate or trust Resident estates and trusts: Multiply income pursuant to 36 M R S A 5122(2)(M) income received during the tax year covered by this return Income Tax Guidance Documents) income tax return and for the understatement of income income tax withheld Enclose (do not staple or tape) supporting W 2 and incurred in the production of income subject to Maine tax but exempt individual income tax booklet for a description of nonresident and individual income tax return and apply their portion of the REW payment information and examples go to www maine gov/revenue/forms (select installment payments of estimated tax if the estimated tax liability is instead ENTRIES MUST BE ACCURATE If unsure what the RTN instructions above for further explanation of estimated payments Also enter instrument are irrelevant for the purpose of determining residency instrument to be distributed in such year Any balance of the Mainesource INTEREST AND PENALTIES Interest will be added each month on overdue tax until the entire is $10 000 or less To comply with banking rules check the box to is considered a separate trust Maine income tax must be calculated is contact the financial institution items from trusts partnerships and S Corporations where applicable Less than $5 100 2 0% of the taxable income letters) Omit hyphens spaces and special symbols Enter the licensed dentists who practice an average of 20 hours or more per Line 1 ADDITIONS to federal taxable income Also include the Line 1 Federal Taxable Income resident estates and trusts Line 10a Amount of Line 9 You Want Credited Use this block only Line 1a Enter income from municipal and state bonds other Line 1b Enter any amount of federal net operating loss carry Line 1c Enter 2012 Maine Public Employees Retirement System Line 1d Enter the amount of federal domestic production Line 1e The bonus depreciation add back is an addition modification line 1f exceeds the recalculated MACRS depreciation If the recalculated Line 1f Maine capital investment credit bonus depreciation addback Line 1g Other Enter on this line Line 2 Fiduciary Adjustment resident estates and trusts only Line 2 SUBTRACTIONS from federal taxable income Also Line 2a If included in federal taxable income enter income from Line 2b If included in federal taxable income social security Line 2c If included in federal taxable income enter interest from Line 2d Use this line only if the person retired after 1988 and Line 2e Enter up to $250 per beneficiary of contributions made Line 2f Bonus depreciation recapture Amounts required to be Line 2g Other Subtractions Enter ONLY items specifically listed line 3 by the percentage on Schedule 2 Column 3 line f Enter the line 3 by using the following table: Line 3 Net Fiduciary Adjustment The shares of the beneficiaries Line 4 Maine Income Tax Compute the tax on the amount shown on Line 4b is the income tax assessed by the other jurisdiction minus Line 7a Maine Income Tax Withheld Enter the total amount of Maine Line 7b 2012 Estimated Tax Payments 2011 Overpayment Carried Line 8 Tax Balance Due Any balance of tax liability should be paid line Enter on this line net operating losses carried forward from lines List the source of each amount claimed in the space provided and MACRS depreciation is greater than the adjusted federal depreciation no Maine allows an automatic extension equal to any federal extension Maine credit the amount of the reduction in the salaries and maine gov/revenue or mail a check payable to Treasurer State of Maine maine gov/revenue/forms (select Income Tax Guidance Documents) Maine municipal general obligation and private activity bonds Maine return in an earlier year such as real estate taxes the Maine source income of a nonresident estate or trust is determined Maine under 36 M R S A 5142 Maine when funded may have the refund directly deposited into a checking account if it MePERS rollover amounts previously taxed by the state whether modifications For more information and examples go to www must also sign and enter his or her social security number or PTIN as must be made after the fi rst year filing 36 M R S A 5228 must be made in four equal installments due April 15 June 15 must file Form 1041ME if the estate or trust has any: needed to process your return net operating losses carried forward pursuant to 5200 A(2)(H) next lower dollar any amount less than 50 cents Round up to the next next year s estimated tax NexTalk (hearing impaired only): 711 Weekdays 8:00 a m NOL s go to www maine gov/revenue/forms (select Income Tax nonresident and safe harbor resident beneficiaries nonresident and safe harbor resident beneficiaries See page nonresident and Safe Harbor resident statuses ALL estates/ Nonresident estates and trusts and resident estates and trusts with nonresident or safe harbor resident beneficiaries see the instructions for Schedule NR) Nonresident estates or trusts enter on this line amounts withheld in nonresident revocable inter vivos trust will become a resident trust not required to file a Maine return NOTE: Grantor Trusts and all Charitable Remainder Trusts are Note: Maine s estate/trust estimated tax filing requirements differ number from left to right and leave any unused spaces blank number/EIN of each beneficiary of the estate or trust including of accounting is changed for federal income tax purposes the change of capital gains and ordinary income resulting from depreciation of each amount claimed in the space provided Attach supporting of each beneficiary in the Maine source income is in proportion to of each Schedule 3 completed Add the credits together and enter of Historic Properties Tax Credit line 6 of non Maine municipal bond interest) long term care insurance of service in the active or reserve components of the U S armed services of the change Any fiduciary filing an amended federal income tax of the federal return On line 10c enter the 9 digit routing transit number (RTN) The On line 10d enter the checking account number The checking on Schedule NR A resident estate or trust with nonresident or safe on the sale of Maine property where the gain or loss is distributed amoung only Enter the amount of taxable income shown on federal Form 1041 the or 5200 A(2)(L) For more information on Maine s treatment of or 6 months whichever is the longer period of time Caution: An or as a federal adjustment by self employed individuals the total or Form 1099ME to support your entry or municipalities to firefighters and emergency medical responders or not included in federal taxable income or not the beneficiary is a resident of Maine Since each beneficiary or trust Do not complete column 6 for resident beneficiaries (except original due date for filing your Maine return to: Maine Revenue over the life of the applicable asset For more information and ownership interest in the financial institution that is a partnership PAYMENT OF ESTIMATED TAX payment of tax If you owe money you must pay at least 90% of payment of tax The penalty for late filing is $25 or 10% of the tax payments made to a survivor of a deceased member of the military as a result pension deduction under 36 M R S A 5122(2)(M) military annuity per year compounded monthly In addition to interest a penalty is person chooses as their personal identification number (PIN) Checking phone number on the check political subdivision of a foreign country that is like a state of portion of the Distributable Net Income Each benefi ciary must file a Maine premiums paid by the estate or trust that have not been claimed as previous tax years pursuant to 5122(2)(H) 5122(2)(P) 5122(2) pro forma Schedule NR to the Maine income tax return for the estate property placed in service in 2012 Then MACRS depreciation must be proportion to their respective shares of federal distributable net provided (in the upper right corner of the return) For a Maine composite pursuant to 36 M R S A 5216 B to the extent included in federal QUALIFIED FUNERAL TRUST (QFT) recapture pursuant to Code sections 1245 and 1250 realized on the received retirement benefits from the Maine Public Employees refund obtain the latest tax updates frequently asked questions refunds earnings from fishing operations contributed to a capital relative to the Maine Waste Management & Recycling Program to Remit your extension payment with the payment voucher by the Renewal Community Credit amounts received from a Holocaust REPORT OF CHANGE IN MAINE TAXABLE INCOME required federal QFT taxpayer identification number (EIN) in the space resident beneficiaries must complete a pro forma Schedule NR Resident estates and trusts may claim a credit against Maine income Resident estates or trusts with nonresident and Safe Harbor result on Form 1041ME Schedule NR line 7 Column A result on page 1 of Form 1041ME line 2 Nonresident estates and retirement benefits not otherwise deducted received by certain Retirement Board are not taxable to Maine However benefits issued Retirement System ( MePERS ) in 2012 To calculate the amount return return attach a schedule listing for each beneficiary: Maine taxable return box at the top of the form Attach a statement explaining return filed with the other jurisdiction return must also file an amended Maine return within 180 days return or Internal Revenue agent s report to the Maine amended Revenue Services by checking the Yes box on page 1 of Form 1041ME RTN must begin with 01 through 12 or 21 through 32 If it does not S corporation or entity disregarded as separate from its owner sale of multifamily affordable housing property certified by the Maine same as those used for federal tax purposes (for more information savings plan ) only if the income is not more than $100 000 SCHEDULE 1 FIDUCIARY ADJUSTMENT (Enter combined amounts for both the beneficiaries and the estate or trust) SCHEDULE 2 ALLOCATION OF FEDERAL INCOME AND MAINE SOURCE INCOME SCHEDULE 3 CREDIT FOR INCOME TAX PAID TO ANOTHER JURISDICTION section 139B the administrative expense deduction claimed for see instructions for federal Form 1041) If the taxable year or method See the instructions for Schedule NR See page 2 of the Maine senior citizens pursuant to 36 M R S A 6232(1 A) expenses separately for each beneficiary The total tax for all benefi ciaries is September 15 and January 15 Payments can be made electronically Series EE and Series HH Savings bonds and U S Treasury bills Services P O Box 9101 Augusta ME 04332 9101 Services that you would like to resolve Services web site at www maine gov/revenue/forms or call Show money items as whole dollar amounts Round down to the SIGNATURE Situs of the trust instrument the property held in trust the location of sources in that jurisdiction determined in the same manner SPECIFIC INSTRUCTIONS State Housing Authority A copy of the MSHA certificate must be supporting documentation if greater than $25 000 tax amount is paid For calendar year 2013 the interest rate is 7% tax credit and the forest management planning credit tax for income tax paid to another jurisdiction if all the following Tax payments made to other taxing jurisdictions for prior TAX TABLE Tax violations hot line: (207) 624 9600 Call this number or send tax@maine gov or write to Maine Revenue Services PO Box taxable income taxable income related to individuals qualified for the opportunity taxation deducted in arriving at federal taxable income amounts taxes actually paid for 2012 and any 2011 credit carried forward See general TAXPAYER ASSISTANCE and FORMS taxpayer s distributive share of addition modification items from testamentary trust than $150 000 you must include the entire federal Form than Maine that is not included in federal taxable income For that amount by the original due date for filing your return in order to that are excluded from federal taxable income pursuant to Code that are included in the credit base for the high technology investment the 15th day of the fourth month following the close of the taxable year The accounting period and the method of accounting used are the the beneficiary s share of the estate or trust income for the taxable the changes if applicable and a copy of your federal amended the direct deposit will be rejected and a refund check will be sent The due date is April 16 2013 For fi scal year filers the due date is the estate or trust If the shares in the Maine source income are the estate/trust name on line f If there are more than 5 beneficiaries the extent included in federal taxable income all items of income the federal identification number of the firm must also be listed The fiduciary adjustment is determined on Schedule 1 and allocated in the financial institution that is a partnership S corporation or entity the instructions for completing Schedule NR Attach a copy of the the left of line 10d if the refund is going to an account outside the the Maine nonresident return the name address and identification information at the top of Form The other jurisdiction is another state a political subdivision the penalty is the greater of $25 or 25% of the tax due The penalty The purpose of this schedule is to show the distribution of federal The Real Estate Withholding (REW) payments made on behalf of a Trust the taxable estate in calculating the Maine estate tax the estate s/ the taxable income of the S corporation portion of Electing Small Business the total on Schedule A line 4 Attach a copy of the income tax the trustees the adoption of the laws of any state in the governing the United States the will of a decedent who was not domiciled in the State of Maine the Yes box will enable Maine Revenue Services to call the person then entered on line 4 of Form 1041ME then follow the instructions for completing lines 5 10 on Form thereof the District of Columbia Canadian Province or any THIRD PARTY DESIGNEE This tax rate schedule is effective for tax years beginning in 2012 through e allocate line g to the nonresident and safe harbor resident time it was funded An irrevocable inter vivos trust will be classified to a Maine or non Maine qualified tuition program ( 529 college to complete Column 6 of Schedule 2 Enter on Schedule 2 line g to items previously deducted on your federal return but not on your To order forms: Download forms from the Maine Revenue to property for which the Maine Capital Investment Credit is claimed Transmission Corporation the estate s/trust s share of a fiduciary TRUST trust s share of the fiduciary adjustment of another estate/trust Trusts (ESBT) (if applicable) trusts must complete Schedule 2 trusts partnerships and S Corporations where applicable trusts: Multiply line 3 by Schedule 2 Column 3 line f Enter the under a survivor benefit plan or reserve component survivor benefit plan under IRC 222 qualified payments and tax benefits from states underpayment of estimated tax for preparing or filing a fraudulent United States If the box is checked we will mail a paper check use a separate sheet of paper used to calculate the Maine Fishery Infrastructure Investment Tax using Maine EZ Pay (no forms required) at www maine gov/revenue or victims settlement that are included in federal income (36 M R S A violations including failure to file tax returns failure to report all Visit www maine gov/revenue to learn the status of your vivos trust until the settlor becomes domiciled in another state A wages deduction directly related to the federal Work Opportunity was domiciled in Maine Any estate or testamentary trust created by week in Maine and accept patients who receive MaineCare benefits Weekdays 8:00 a m 5:00 p m Call this number if you have when the trust is created the trust is considered a resident inter WHEN TO FILE WHO MUST FILE WHOLE DOLLAR AMOUNTS with page 1 of Form 1041ME Detailed instructions for the schedules follow with the return Please write the federal estate or trust name address and withheld shown on them unless otherwise required to send as supporting write attachment to Form 1041ME DO NOT DETACH Complete year including that which is required by local law of the governing year tax liabilities cannot be considered when computing this you can file using the same status for Maine purposes Check the box you have chosen if there are any questions or if additional information is You may designate a third party to discuss your return with Maine your W 2 forms and 1099 forms on 8 1/2 by 11 inch paper are preferred