When managing a trust or estate in Michigan, understanding fiduciary income tax obligations is essential. The IRS mandates that trusts earning more than $600 annually must file Form 1041, the fiduciary income tax return. In Michigan, trustees or personal representatives must also submit Form MI-1041, even if no tax is owed.
However, some trusts are exempt, including tax-exempt trusts, common trust funds, and certain grantor trusts. Fiduciaries need to be cognizant of filing deadlines.
Learn more about filing a Michigan Fiduciary Income Tax Return here.
Don’t Let Trust Taxation Overwhelm You
If you have questions about an existing trust, consult a trust attorney in Ann Arbor who can provide tailored legal advice. We’re here to help you navigate trust taxation and estate planning. For personalized guidance, call us at (734) 665-4441 or submit a contact form.
