2023 New York Laws › TAX - Tax › Article 22 - Personal Income Tax › Part 2 - Residents › 619 - Share of a Resident Estate, Trust or Beneficiary in New York Fiduciary Adjustment.

§  619.  Share  of a resident estate, trust or beneficiary in New York
fiduciary adjustment.
(a) General. An adjustment shall  be  made  in  determining  New  York
taxable  income  of a resident estate or trust under section six hundred
eighteen, or New York adjusted gross income of a resident beneficiary of
any estate or trust under subsection (d) of section six hundred  twelve,
in  the amount of the share of each in the New York fiduciary adjustment
as determined in this section.
(b) Definition. The New York fiduciary adjustment  shall  be  the  net
amount  of  the  modifications  described  in section six hundred twelve
(including subsection (d) if the estate or trust  is  a  beneficiary  of
another  estate  or trust), in subsection (c) and paragraphs (2) and (3)
of subsection (d) of section six hundred fifteen, and in subsection  (e)
of  this  section,  which  relate  to  items  of  income,  gain, loss or
deduction of an estate or trust. The net amount  of  such  modifications
shall not include:
(1) Any modification described in paragraphs (1) and (2) of subsection
(b)  and paragraphs (1), (2), (4), (5), (6) and (7) of subsection (c) of
section six hundred twelve with respect to any amount which, pursuant to
the terms of the governing instrument, is paid or permanently set  aside
for a charitable purpose during the taxable year, and
(2)  Any  modification described in paragraph (4) or (5) of subsection
(c) of section six hundred twelve, with respect to gains from  the  sale
or  other disposition of property, to the extent such gains are excluded
from federal distributable net income of the estate or trust.
(c) Shares of New York fiduciary adjustment.
(1) The respective shares of an estate or trust and its  beneficiaries
(including,  solely  for  the  purpose  of  this allocation, nonresident
beneficiaries)  in  the  New  York  fiduciary  adjustment  shall  be  in
proportion  to  their  respective  shares  of  federal distributable net
income of the estate or trust.
(2) If the estate or trust has no federal distributable net income for
the taxable year,  the  share  of  each  beneficiary  in  the  New  York
fiduciary  adjustment  shall be in proportion to his share of the estate
or trust income  for  such  year,  under  local  law  or  the  governing
instrument,  which is required to be distributed currently and any other
amounts of such income distributed in such year. Any balance of the  New
York fiduciary adjustment shall be allocated to the estate or trust.
(d)  Alternate attribution of modifications. The tax commission may by
regulation establish such other method or methods of determining to whom
the items comprising the fiduciary adjustment shall  be  attributed,  as
may  be  appropriate  and  equitable.  Such  method  may  be used by the
fiduciary in his discretion whenever the  allocation  of  the  fiduciary
adjustment  pursuant to subsection (c) would result in an inequity which
is substantial both in amount and in  relation  to  the  amount  of  the
fiduciary adjustment.
(e) Additional modifications. (1) For any taxable year beginning after
December thirty-first, two thousand seventeen, and before January first,
two  thousand twenty-six, to the extent that the estate or trust claimed
a deduction for taxes under section 164 of  the  internal  revenue  code
that  was  limited  to  ten  thousand  dollars  as  provided  in section
164(b)(6)(B) or was denied as a result of  section  164(b)(6)(A),  there
shall be subtracted the taxes paid or accrued in that taxable year by an
estate  or  trust  that  the  estate or trust was not able to deduct for
federal income tax purposes because of such limitation or denial,  other
than state and local sales taxes and income taxes described in paragraph
one  of  subsection  (c) of section six hundred fifteen of this part. In
determining the makeup of the ten thousand dollars of deduction  claimed

by  the  estate or trust under section 164 of the internal revenue code,
it shall be presumed that the ten thousand dollars  of  deduction  first
comprises  the state and local sales taxes or income taxes the estate or
trust accrued or paid during the taxable year.
(2)  For  any  taxable year beginning after December thirty-first, two
thousand seventeen, and before January first, two  thousand  twenty-six,
there  shall  be  subtracted  the  miscellaneous  itemized deductions as
described in and limited by section 67 of the internal revenue code (but
excluding the deductions described in subsection (e) of section 67), but
determined without regard to subsection (g) of such section.
(3) For any taxable year, there shall  be  added  the  amount  of  any
deduction allowed pursuant to section 199A of the internal revenue code.