California Form 541-Es Draft - Estimated Tax For Fiduciaries - 2015 Page 4

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2015 Instructions for Form 541-ES
Estimated Tax For Fiduciaries
General Information
If the estate or trust must make estimated tax
Mental Health Services Tax Worksheet
payments, use the Estimated Tax Worksheet on
Use whole dollars only.
Installment Payments. Estimated tax payments
the next page to figure the amount owed.
shall be paid in the following percentages of the
A. Taxable income from Form 541
Real Estate Mortgage Investment Conduit
required annual payment:
line 20a . . . . . . . . . . . . . . . . .
(REMIC) trusts are not required to make
1st Payment – 30%
estimated payments.
B. ESBT taxable income from
2nd Payment – 40%
Tax-exempt trusts and nonexempt charitable
Form 541 line 20b. . . . . . . . .
3rd Payment – 0%
trusts described in IRC Section 4947(a)(1) should
4th Payment – 30%
C. Add line A and line B. . . . . . .
use Form 100-ES, Corporation Estimated Tax.
Estates and trusts with a tax liability less
D. Less . . . . . . . . . . . . . . . . . . .
$(1,000,000)
than $500 do not need to make estimated tax
C When to Make Estimated Tax
E. Subtotal . . . . . . . . . . . . . . . .
payments.
Payments
F. Tax rate – 1% . . . . . . . . . . . .
x .01
A Purpose
For estimated tax purposes, the year is divided
G. Mental Health Services Tax –
into four payment periods. Each period has a
Use Form 541-ES, Estimated Tax For Fiduciaries,
Multiply line E by line F.
specific payment due date. If an estate or trust
to figure and pay estimated tax for an estate
Enter the amount here and on
does not pay enough tax by the due date of each
or trust. Estimated tax is the amount of tax the
line 10 of the 2015 Estimated
payment, it may be charged a penalty even if it is
fiduciary of an estate or trust expects to owe for
Tax Worksheet on the next
due a refund when it files its income tax return.
the year.
page . . . . . . . . . . . . . . . . . . .
Pay the estimated tax payment by the dates
B Who Must Make Estimated
D How to Use Form 541-ES
shown below:
Tax Payments
1st Payment . . . . . . . . . . . . . . . . . . April 15, 2015
Use the Estimated Tax Worksheet on the next
2nd Payment. . . . . . . . . . . . . . . . . . June 15, 2015
page and the 2014 Form 541 tax return as a guide
Generally, a fiduciary of an estate or trust must
3rd Payment . . . . . . . . . . . . . . . . . . September 15, 2015
for figuring the 2015 estimated tax payment.
make 2015 estimated tax payments if the estate
4th Payment . . . . . . . . . . . . . . . . . . January 15, 2016
or trust expects to owe at least $500 in tax for
There is a separate payment form for each due
Filing an Early Tax Return in Place of the 4th
2015 (after subtracting withholding and credits).
date. Use the form with the correct due date.
Installment. If an estate or trust files its 2015 tax
return by February 1, 2016, and pays the entire
A fiduciary of an estate or trust is not required to
Fill in Form 541-ES:
make 2015 estimated tax payments if one of the
balance due, it does not have to make its last
1. Using black or blue ink, print the estate’s or
following applies:
estimated tax payment.
trust’s name, the fiduciary’s name and title,
Annualization Option. If the estate or trust does
• 100% of the tax shown on the 2014 tax return
address, and the estate’s or trust’s federal
not receive its taxable income evenly during the
including alternative minimum tax (AMT) was
employer identification number (FEIN) in the
paid by withholding.
year, it may be to its advantage to annualize the
space provided on Form 541-ES. If the estate’s
income. This method allows matching estimated
• 90% of the tax shown on the 2015 tax return
or trust’s name or address is too long to fit in
will be paid by withholding.
tax payments to the actual period when income
the provided spaces, do not shorten the name
• It is a decedent’s estate for any taxable year
was earned. Use the annualization schedule
or address. Instead, ignore the combed lines
included with 2014 form FTB 5805, Underpayment
ending before the date that is two years after
and fit the information in the space provided.
the decedent’s death.
of Estimated Tax by Individuals and Fiduciaries.
Include the Private Mail Box (PMB) in the
• It is a trust that was treated as owned by
Farmers and Fishermen. If at least 2/3 of gross
address field. Write “PMB” first, then the box
the decedent and if the trust will receive the
income for 2014 or 2015 is from farming or
number. Example: 111 Main Street PMB 123.
residue of the decedent’s estate under the will
fishing, the estate or trust may apply one of the
2. Enter on the payment line of the form only the
(or if no will is admitted to probate, the trust is
following:
amount of the current payment. When making
primarily responsible for paying debts, taxes,
• Pay the total estimated tax by January 15, 2016.
payments of estimated tax, be sure to take into
and expenses of administration) for any taxable
• File Form 541, California Fiduciary Income Tax
account any previous year’s overpayment to
year ending before the date that is two years
Return, for 2015 on or before March 1, 2016,
be credited against the current year’s tax, but
after the decedent’s death.
and pay the total tax due. In this case,
do not include the overpayment amount in the
Required Annual Estimated Tax Payment
estimated tax payments are not due for 2015.
payment amount.
Adjusted Gross Income (AGI) $150,000 or less.
Enclose form FTB 5805F, Underpayment of
3. If part of the estimated tax is to be allocated
Estimated Tax by Farmers and Fishermen, with
Estates and trusts required to make estimated tax
to the beneficiaries per IRC Section 643(g),
payments and whose 2014 AGI is $150,000 or
Form 541.
enclose a copy of Form 541-T, California
less, must figure their estimated tax based on the
Fiscal Year Filers. If the estate or trust files on
Allocation of Estimated Tax Payments to
lesser of 100% of the tax for 2014 or 90% of the
a fiscal year basis, the due dates will be the 15th
Beneficiaries, to Form 541-ES.
tax for 2015, including AMT. This rule does not
day of the 4th, 6th, and 9th months of the fiscal
4. Using black or blue ink, make a check or money
apply to farmers or fishermen.
year and the 1st month of the following fiscal
order payable to the “Franchise Tax Board.”
year. If the due date falls on a weekend, or legal
AGI greater than $150,000. Estates and trusts
Write the FEIN and “2015 Form 541-ES” on the
required to make estimated tax payments and
holiday, use next business day.
check or money order. Enclose, but do not staple
whose 2014 AGI is more than $150,000 must
Mental Health Services Tax. If the estate’s or
the payment with Form 541-ES and mail to:
figure their estimated tax based on the lesser of
trust’s taxable income is more than $1,000,000,
FRANCHISE TAX BOARD
110% of the tax for 2014 or 90% of the tax for
compute the Mental Health Services Tax. Income
PO BOX 942867
2015, including AMT. This rule does not apply to
from an Electing Small Business Trust (ESBT) is
SACRAMENTO CA 94267-0008
farmers or fishermen.
also subject to the Mental Health Services Tax.
Make all checks or money orders payable in
AGI $1,000,000 or more. Estates and trusts with
U.S. dollars and drawn against a U.S. financial
a 2015 AGI equal to or greater than $1,000,000
institution.
must figure their estimated tax based on 90%
of the tax for 2015. This rule does not apply to
5. Keep a record of the payment.
farmers or fishermen.
6. Fiscal year filers: Fill in the month and
year-end information at the top of the form.
Form 541-ES Instructions 2014 Page 1

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