1041-QFT U.S. Income Tax Return for Qualified Funeral Trusts

1 form 1041-QFT Income Tax Return for Qualified Funeral Trusts OMB No. 1545-1593. Department of the Treasury Internal Revenue Service Go to for the latest information. 2021. For calendar year 2021 or short year beginning , 2021, and ending , 2021. Part I General Information 1 Name of trust or other entity filing Return 2 Employer identification number (EIN). 3a Name and title of trustee 3b Number, street, and room or suite no. (If a box, see the instructions.). 3c City or town, state, and ZIP code 4 Number of QFTs included on this Return 5 Check applicable boxes: Initial Return Amended Return Final Return Change in the fiduciary or fiduciary's name Change in fiduciary's address Part II Tax Computation 1a Interest Income .. 1a b Tax-exempt interest.

2 Don't include on line 1a .. 1b Income 2a Total ordinary dividends .. 2a b Qualified dividends .. 2b 3 Capital gain or (loss) (attach Schedule D ( form 1041)) .. 3. 4 Other Income . List type and amount 4. 5 Total Income . Combine lines 1a, 2a, 3, and 4 .. 5. 6 Taxes .. 6. Deductions 7 Trustee fees .. 7. 8 Attorney, accountant, and Return preparer fees .. 8. 9 Other deductions .. 9. 10 Total deductions. Add lines 6 through 9 .. 10. 11 Taxable Income . Subtract line 10 from line 5 .. 11. 12 Tax. (If this is a composite Return , check here ) .. 12. Tax and Payments 13 Credits (see instructions). Specify the credits claimed 13. 14 Subtract line 13 from line 12 .. 14. 15 Net Investment Income Tax from form 8960, line 21 .. 15. 16 Total tax. Add lines 14 and 15.

3 16. 17 Payments (see instructions) .. 17. 18 Tax due. If line 17 is smaller than line 16, enter amount owed .. 18. 19 Overpayment. If line 17 is larger than line 16, enter amount overpaid .. 19. 20 Amount of line 19 to be: a Credited to 2022 estimated tax b Refunded 20. Under penalties of perjury, I declare that I have examined this Return , including accompanying schedules and statements, and to the best of my knowledge Sign and belief, it is true, correct, and complete. Declaration of preparer (other than trustee) is based on all information of which preparer has any knowledge. May the IRS discuss this Return Here .. with the preparer shown below? Signature of trustee or officer representing trustee Date See instr. Yes No Print/Type preparer's name Preparer's signature Date if PTIN.

4 Paid Check self-employed Preparer Firm's name Firm's EIN . Use Only Firm's address Phone no. For Paperwork Reduction Act Notice, see instructions. Cat. No. 25368F form 1041-QFT (2021). form 1041-QFT (2021) Page 2. General Instructions The only contributions to the trust are When To File contributions by or for such beneficiaries'. Section references are to the Internal benefit. File form 1041-QFT by April 15, 2022. The Revenue Code. due date for a composite Return is also April The trustee makes or previously had made 15, 2022, even if the Return includes QFTs that What's New the election to treat the trust as a QFT. terminated during the year. If you are filing for The trust would have been treated as owned a short year, file form 1041-QFT by the 15th Tax rate schedule for Trusts and estates.

5 By the purchasers of the contracts under the day of the 4th month following the close of The tax rates have changed for 2021. See grantor trust provisions of the Code if the QFT the short year. If the due date falls on a Line 12 Tax, later. election hadn't been made. Saturday, Sunday, or a legal holiday, file by Future Developments Note: A trust that isn't treated as owned by the next business day. For the latest information about developments the purchaser solely because of the death of Private Delivery Services (PDSs). related to form 1041-QFT and its instructions, an individual will be treated as meeting this requirement during the 60-day period You can use certain PDSs designated by the such as legislation enacted after they were IRS to meet the timely mailing as timely published, go to beginning on the date of that individual's death.

6 Filing rule for tax returns. Go to PDS for the current list of designated services. Reminders If a QFT has multiple beneficiaries, each beneficiary's separate interest under a The PDSs can tell you how to get written Global intangible low-taxed Income . The contract is treated as a separate QFT for the proof of the mailing date. Tax Cuts and Jobs Act of 2017 (TCJA) ( 115-97) requires a shareholder of any purpose of figuring the tax and filing this For the IRS mailing address to use if you're controlled foreign corporation to include in Return . Each beneficiary's share of the trust's using a PDS, go to gross Income its global intangible low-taxed Income is determined in accordance with the PDSS treetAddresses. Income (GILTI). For more information, see the beneficiary's interest in the trust.

7 A.. PDSs can't deliver items to instructions for line 4, Other Income , later. Miscellaneous itemized deductions subject beneficiary's interest in a trust may be determined under any reasonable method. Whenever these instructions refer to a trust ! boxes. You must use the Postal Service to mail any item to to the 2% floor. Expenses that qualify as CAUTION an IRS box address. miscellaneous itemized deductions subject to or QFT, it includes such separate interests the 2% floor are no longer deductible. that are treated as separate QFTs. Extension of Time To File Net investment Income tax (NIIT). An estate Use form 7004, Application for Automatic Making the Election Extension of Time To File Certain Business or trust may be subject to NIIT. NIIT is a tax on the lesser of an estate's or trust's The trustee makes the election to treat a trust Income Tax, Information, and Other Returns, undistributed net investment Income or the as a QFT by filing form 1041-QFT for the to get an extension of time to file.

8 An excess of the estate's or trust's adjusted trust by the due date (including extensions). extension of time to file a Return doesn't gross Income over a specified threshold You may elect QFT status for a trust's first extend the time to pay the tax. amount. NIIT may need to be included when eligible year or for any subsequent year. Once figuring estimated tax. In addition, there are Where To File made, the election can't be revoked without special rules when figuring NIIT for a the consent of the IRS. File form 1041-QFT at the following address. composite Return . See Composite Return , Department of Treasury later. Composite Return Internal Revenue Service A trustee may file a single, composite form Kansas City, MO 64999. Purpose of form 1041-QFT for some or all QFTs of which he or The trustee of a trust that has elected to be she is the trustee, including QFTs that had a Who Must Sign taxed as a Qualified Funeral trust (QFT) files short tax year.

9 form 1041-QFT to report the Income , Trustee You must attach a statement to a deductions, gains, losses, and tax liability of The trustee, or an authorized representative, composite form 1041-QFT that includes the the QFT. The trustee can use the form to must sign form 1041-QFT . following information for each QFT (or report information for a single QFT or for separate interest treated as a separate QFT). Paid Preparer multiple QFTs having the same trustee. If filing form 1041-QFT for multiple QFTs, please see The name of the owner or the beneficiary. If Generally, anyone who is paid to prepare a the rules discussed under Composite Return , you list the name of the owner and that trust tax Return must sign the Return and fill in the later. has more than one beneficiary, you must other blanks in the Paid Preparer Use Only separate the trust into shares held by the area of the Return .

10 The person required to sign Pre-need Funeral Trusts that don't qualify as separate beneficiaries. the Return must: QFTs should see the Instructions for form 1041, Income Tax Return for Estates and The type and gross amount of each type of Complete the required preparer information, Trusts , for their filing requirements. Income earned by the QFT for the tax year. Sign it in the space provided for the For capital gains, identify separately the preparer's signature, and Qualified Funeral Trust amount of (a) net short-term capital gain, (b). net long-term capital gain, (c) 28% rate gain, Give you a copy of the Return in addition to A QFT is a domestic trust that meets all of the copy to be filed with the IRS. and (d) unrecaptured section 1250 gain.