Should an estate make estimated tax payments?

An estate or trust may need estimated payments when expected tax and withholding meet applicable requirements. When preparing the return, federal and state systems are separate, so the executor or beneficiary should check the current rules that apply in MD and any other state connected to the estate. From a tax compliance standpoint, tax deadlines in an estate can include final individual returns, fiduciary income tax returns, estate tax returns, gift tax returns, payroll filings, and state forms. Tax consequences can vary with beneficiary status, basis, timing, ownership, and whether the payment is principal or income.