Reporting Beneficiary Income

Beneficiaries of a trust or estate must report their share of the income that was distributed by filing Form M1, Minnesota Individual Income Tax Return, as follows:

• Beneficiaries who are Minnesota residents must report all income from the trust or estate on Form M1.
• Beneficiaries who are nonresidents must report income from the trust or estate that is assignable to Minnesota on Form M1 if they meet the state minimum filing requirement when calculating Minnesota gross income from all sources.

Beneficiaries will receive information about their share of the distributed income from the trust or estate on Schedule KF, Beneficiary’s Share of Minnesota Taxable Income.