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GENERAL INFORMATION

RESIDENT AND NONRESIDENT ESTATE OR TRUST DEFINED

WHEN TO FILE -All returns must be filed on or before the 15th day of the

-West Virginia is a federal conformity state. When a Federal 1041 is

fourth month following the close of the taxable year or, if the due date falls

filed with the IRS, then any resident or non-resident estate or trust would

on a Saturday, Sunday, or legal holiday, the next business day. The taxable

be required to file the IT-141 with the West Virginia State Tax

year of the estate or trust for West Virginia income tax purposes is the same

Department. For income tax purposes as filed on the IT-141, a resident

as the one used for federal tax purposes.

estate or trust means: (a) the estate of a decedent who at his/her death was

WHERE TO FILE -All returns must be filed with the West Virginia State

domiciled in this state, (b) a trust created by will of a decedent who at

Tax Department, Tax Account Administration Division, P.O. Box 1071,

his/her death was domiciled in this state, or (c) a trust created by or

Charleston, West Virginia 25324-1071.

consisting of property of a person domiciled in this state. A non-resident

USE OF FEDERAL FIGURES -All items of income and deduction to be

estate or trust is required to file the IT-141 and report the income that is

used for West Virginia tax purposes are the same as for federal tax purposes

attributable to West Virginia. The residence of the fiduciary does not

and the meaning of all terms is the same, but are subject to verification,

affect the classification of the estate, or trust as a resident or non-resident.

audit and revision. Please see the instructions for non-resident estates or

trusts.

ESTATES AND TRUSTS REQUIRED TO FILE A RETURN -

NON-RESIDENT BENEFICIARY WITHHOLDING -Estates and Trusts

Fiduciary returns must be filed for the following estates and trusts:

are required to withhold West Virginia Income Tax from each non-resident

(a) Resident estates or trusts required to file a Federal Income Tax

beneficiary that has not given to the Estate or Trust a West Virginia Non-

return, or having any West Virginia taxable income;

Resident Income Tax Agreement, Form WV/NRW-4. The amount of

(b) Non-resident estates or trusts having items of income or gain

withholding tax payable is six and one-half percent (.065) of a pass-through

derived from West Virginia sources.

entity's effectively connected taxable income, which may be lawfully taxed

by West Virginia, and which is allocable to a non-resident beneficiary.

COMPOSITE RETURN -An Estate or Trust, instead of withholding tax

The non-resident beneficiaries may claim the amount to tax withheld as a

on taxable distributions to its non-resident beneficiaries, may opt instead

credit against his or her West Virginia Personal Income Tax liability by

to satisfy the non-resident withholding requirements by filing a West

attaching a copy of the information statement provided by the Estate or

Virginia Non-Resident Composite Income Tax Return (Form IT-

Trust to their West Virginia Non-Resident Personal Income Tax Return,

140NRC) for its non-resident beneficiaries. For more information about

Form IT-140.

Composite Return visit our website at

PAYMENT OF TAX WITHHELD -The entire amount of tax withheld

RESIDENT AND NONRESIDENT QUALIFIED FUNERAL TRUST

from the non-resident beneficiary is required to be paid with the annual

DEFINED-

A QFT is a domestic trust that meets all of the following

return Form IT-141 on or before the 15th day of the fourth month following

requirements. (1) It arose as a result of a contract with a person engaged

the close of the taxable year of the Estate or Trust. Make check payable to

in the trade or business of providing funeral or burial services or property

the West Virginia State Tax Department. An extension of time to file does

to provide such services; (2) the sole purpose of the trust is to hold, invest,

not extend the date for payment of tax.

and reinvest funds in the trust and to use those funds solely to pay for

INFORMATION STATEMENT OF TAX WITHHELD -Every Estate or

funeral or burial services or property to provide such services for the

Trust required to deduct and withhold tax on non-resident beneficiaries must

benefit of the beneficiaries of the trust; (3) the only beneficiaries are

provide an information statement to each non-resident beneficiary on or

individuals for whom such services or properties are to be provided at

before the date it files its West Virginia Fiduciary Tax Return. The

their death under the contracts described above; (4) the only contributions

information statement shall show the amount of West Virginia Income

to the trust are contributions by or for such beneficiaries’ benefit; the

subject to withholding and the amount of West Virginia Income Tax

trustee makes or previously had made the election to treat the trust as a

withheld. The Estate or Trust may satisfy this requirement by indicating this

QFT; (5) the trust would have been treated as owned by the purchasers of

information on Form WV/NRW-2, Statement of West Virginia Income Tax

the contracts under the grantor trust provisions of the Code if the QFT

Withheld for Non-Resident Individual or Organization or in the

election had not been made.

supplemental area of the non-resident beneficiary's copy of Federal

Schedule K-1 or by an attachment to the Federal Schedule K-1 listing the

QUALIFIED FUNERAL TRUST FILING REQUIREMENTS- Form

same information.

IT-141 marked as QFT is required when the Federal 1041-QFT is filed

CLAIMING WITHHOLDING ON THE RETURN - You MUST attach

according to §685 of the Internal Revenue Code to permit certain trusts

the IT-141W to your Fiduciary return in order to claim credit for your

to elect Qualified Funeral Trust Status (QFT).

withholding. To complete the IT-141W, copy the required information from

the statement of West Virginia Income Tax issued to you (WV/NRW-2 or

QUALIFIED FUNERAL TRUST COMPOSITE- A trustee may file a

Schedule K-1) total these amounts and enter on line 12 of the IT-141. DO

single, composite Form IT-141 for all qualified funeral trusts of which he

NOT SEND IN YOUR WV/NRW-2 OR SCHEDULE K-1 WITH YOUR

or she is the trustee by marking the IT-141 as a Qualified Funeral Trust

RETURN. If you claim any withholding on line 12 of the IT-141 and have

Composite. Generally, a qualified funeral trust included on a composite

not completed the IT-141W your return will be returned to you as

must have a calendar year as its tax year. However, you may also include

incomplete. QFT Composite returns should include one (1) IT-141W

a qualified funeral trust that had terminated during the year resulting in a

marked as K-1 showing all combined withholding.

short tax year, provided that the qualified funeral trust would have been a

calendar year tax year before termination and the composite is filed no

EXTENSION OF TIME TO FILE -Any estate, trust, or QFT needing an

later than the due date for the short tax year.

extension of time to file the West Virginia Fiduciary Income Tax Return

(Form IT-141) and/or that expects to owe income tax and/or non-resident

You must maintain and make available to the State Tax Department upon

withholding tax (QFT not required to pay the non-resident withholding tax)

request, a schedule to a composite form IT-141 for each qualified funeral

must file Form IT-141T, Extension of Time to File. File Form IT-141T on

trust (or separate interest if treated as a separate qualified funeral trust).

or before the due date of your return. Any estate or trust granted an

The information must include the name of the owner or beneficiary and, if

extension of time to file their federal return is granted the same extension of

the trust has more than one beneficiary, the apportioned shares for each

time to file their West Virginia return. An extension of time to file does not

beneficiary; the type and gross amount of each type of income earned by

extend the time for payment. To avoid interest and additions to tax for late

the qualified funeral trust for the tax year; the type and amount of each

payment, use Form IT-141T to make a tentative payment pending the filing

deduction and credit allocable to the QFT; the tax payments for each

of your annual return.

QFT; the termination date if the QFT was terminated during the year.

RELATED FORMS -You may obtain related forms, such as the WV/IT-

140W, WV/NRW-2 or IT-140NRC, on our website at

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Form It-141 - West Virginia Fiduciary Income Tax Return (For Resident And Non-Resident Estates And Trusts) - 2011 Page 7

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