Income Tax Return for Estates and Trusts; 3 1/2 months on Form 5500, Annual Return/Report of Employee Benefit Plan; and six months on Form 990, Return of Organization Exempt From Income Tax; Form 4720, Return of Certain Excise Taxes Under Chapters 41 and 42 of the Internal Revenue Code; Form 5227
, Split-Interest Trust Information Return; Form 6069, Return of Excise Tax on Excess Contributions to Black Lung Benefit Trust Under Section 4953 and Computation of Section 192 Deduction; Form 8870, Information Return for Transfers Associated With Certain Personal Benefit Contracts; and Form 3520-A, Annual Information Return of a Foreign Trust With a U.
Six months for split-interest trusts filing Form 5227
1) Form 5227
is an information return used to disclose the financial activities of the trust, not to calculate tax liability.
664(b)(1), (2) or (3); and/or (2) the trust distributes property (other than cash) it owned as of the close of the tax year to pay the annuity or unitrust amount and the trustee elects on Form 5227
, Split-Interest Trust Information Return, to treat any income generated by the distribution as occurring on the last day of the tax year for which the amount is due.
A Form 5227
must be submitted for each calendar year a split-interest trust is in existence.
The IRS recently issued a revised Form 5227
, Split-Interest Trust Information Return, for use in preparing returns for tax years beginning on or after Jan.
All CRTs must annually file Form 5227
, Split-Interest Trust Information Return, by April 15 of the year following the taxable year, and attach Form K-1, Form 1041 for each beneficiary receiving taxable income during the year.
664-2(a)(1)(i)(c) continues to define reasonable time as "not ordinarily extend[ing] beyond the date by which the trustee is required to file Form 5227
Split-Interest Trust Information Return (including extensions) for the taxable year.
foundations, and Form 5227
is for split-interest trusts treated as
One of the most common errors in completing IRS Form 5227
is using the incorrect fair market value in computing the "unitrust amount.
The trustee must indicate the various amounts on Form 5227
, Split-Interest Trust Information Return, and on the Schedule K-1 provided to the beneficiary.
A Form 5227
must be submitted for each calendar year a split-interest trust is in existence; it must be filed with the Internal Revenue Service (IRS) by April 15 of the year following the calendar year described in the return.