Part III—Alternative — Instruction 1041 (Schedule I)

Line 50—Tentative Minimum Tax Rate If line 49 is $239,100 or less, multiply line 49 by 26% (0.26). Otherwise, multiply line 49 by 28% (0.28) and subtract $4,782 from the result.

Note. Go to Part IV of Schedule I to figure line 50 if the estate or trust has qualified dividends or has a gain on lines 18a and 19 of column (2) of Schedule D (Form 1041) (as refigured for the AMT, if necessary).

Line 51—Alternative Minimum Foreign Tax Credit

To see if you need to figure the estate's or trust's

TIP AMT foreign tax credit, fill in line 53 of Schedule I

(Form 1041) as instructed. If the amount on line 53 is greater than or equal to the amount on line 50, the estate or trust doesn't owe the AMT. Enter zero on line 54 and see Who Must Complete , earlier, to find out if you must file Schedule I with Form 1041. However, even if the estate or trust doesn't owe AMT, you may need to complete line 51 to see if you have an AMT foreign tax credit carryback or carryforward to other tax years.

To figure the AMT foreign tax credit, follow the steps discussed below.

Step 1. Complete and attach a separate AMT Form 1116, with the notation “Alt Min Tax” at the top for each separate limitation category specified at the top of Form 1116.

Note. When applying the separate limitation categories, use the applicable AMT rate instead of the regular tax rate to determine if any income is “high-taxed.”

Step 2. If you (on behalf of the estate or trust) previously made or are making the Simplified limitation election (as discussed later), skip Part I and enter on the AMT Form 1116, line 17, the same amount you entered on that line for the regular tax. If you didn't complete Form 1116 for the regular tax and you previously made or are making the simplified limitation election (on behalf of the estate or trust), complete Part I and lines 15 through 17 of the AMT Form 1116 using regular tax amounts. If the election doesn't apply, complete Part I using only income and deductions allowed for the AMT that are attributable to sources outside the United States. If the estate or trust has any foreign source qualified dividends or foreign

8 2025 Instructions for Schedule I (Form 1041)

source capital gains or losses, use the instructions under Step 3 below to determine whether you must make adjustments to those amounts before you include the amounts on line 1a or line 5 of the AMT Form 1116.

Step 3. Follow the instructions below, if applicable, to determine the amount of foreign source qualified dividends and foreign source capital gains and losses to include on line 1a and line 5 of the AMT Form 1116.

Foreign qualified dividends. You must adjust the estate's or trust's foreign source qualified dividends before you include those amounts on line 1a of the AMT Form 1116 if:

Line 60 of Schedule I (Form 1041) is greater than zero,
Line 81 of Schedule I (Form 1041) is smaller than line 82, and
The exception for foreign qualified dividends below doesn't apply.

rules described earlier (or if the estate or trust had foreign source qualified dividends, you wouldn’t have been required to make those adjustments).

Schedule D (Form 1041), line 18a, column (2), or line 19, column (2), as refigured for the AMT if necessary, is zero or a loss.
On the AMT Schedule D Tax Worksheet for Form 1041, (a) line 17a is zero, (b) line 9 is zero, or (c) line 42 is equal to or greater than line 43.
On the AMT Part V of Schedule D (Form 1041), (a) line 22 of that AMT Part V minus the amount on Form 4952, line 4e, that you elected to include on Form 4952, line 4g, is zero or less, (b) line 27 of that AMT Part V of Schedule D (Form 1041) is zero; or (c) line 43 of that AMT Part V is equal to or greater than line 44.

Use Worksheet B if you:

Can’t use Worksheet A,
Have foreign source capital gains and losses in no more than two separate categories,
Didn’t have any item of unrecaptured section 1250 gain or any item of 28% rate gain or loss for either regular tax or AMT, and
Didn’t have any capital gains taxed at a rate of 0% or 20%.

Instructions for Worksheets A and B. When you complete Worksheet A or Worksheet B, use foreign source capital gains and losses as refigured for the AMT, if necessary, and don’t use any foreign source capital gains that you elected to include on line 4g of the AMT Form 4952. If you must complete a Schedule D (Form 1041) for the AMT, use line 19 of that AMT Schedule D (Form 1041) to complete line 3 of Worksheet A or line 4 of the Line 2 Worksheet (For Line 2 of Worksheet B). Use 0.5357 instead of the number used for regular tax to complete lines 11, 13, and 15 of Worksheet B and to complete lines 8, 11, and 17 of the Line 15 Worksheet (For Line 15 of Worksheet B).

If the estate or trust doesn't qualify to use Worksheet A or Worksheet B, use the instructions for Capital Gains and Losses in Pub. 514 to determine the adjustments you make. When using the instructions in Pub. 514 to determine if you must adjust foreign source capital gains and losses, make the following substitutions.

When the amount of any AMT gain is in the 15% rate group, multiply it by 0.5357 instead of the number used for regular tax.
When the amount of any AMT gain is in the 20% rate group, multiply it by 0.7143 instead of the number used for regular tax.
When the amount of any AMT gain is in the 25% rate group, multiply it by 0.8929 instead of the number used for regular tax.
When the amount of any AMT gain is in the 28% rate group, multiply it by 1.0 instead of the number used for regular tax.

Step 4. Complete Part II and lines 9 through 14 of the AMT Form 1116. Use the estate's or trust's AMT foreign tax credit carryover, if any, on line 10.

Step 5. If the simplified limitation election doesn't apply, complete lines 15 through 17 of the AMT Form 1116.

Step 6. If you didn't complete Part IV of Schedule I (Form 1041), enter the amount from Schedule I (Form 1041), line 27, on line 18 of the AMT Form 1116 and go to Step 7, later.

But, you don’t need to make any adjustments if:

The estate or trust qualifies for the adjustment exception under Qualified Dividends Tax Worksheet (Estates and Trusts) or Schedule D Filers in the Instructions for Form 1116, and
Line 60 of Schedule I (Form 1041) isn't more than $239,100

Note. Use the estate's or trust's capital gains and losses as refigured for the AMT to determine whether your total amounts are less than the $20,000 threshold under the adjustment exception.

To adjust foreign source qualified dividends, multiply the estate's or trust's foreign source qualified dividends in each separate category by 0.5357 if the foreign source qualified dividends are taxed at a rate of 15%. Include the results on line 1a of the AMT Form 1116.

If they are taxed at a rate of 20%, multiply your foreign source qualified dividends in each separate category by 0.7143. Include the results on line 1a of the AMT Form 1116. You adjust the estate's or trust's foreign source qualified dividends taxed at the 0% rate by not including them on line 1a of Form 1116. Amounts taxed at the 0% rate are on line 8 of the Qualified Dividends Tax Worksheet in the Instructions for Form 1041, line 30, of Schedule D (Form 1041), or line 19 of the Schedule D Tax Worksheet in the Instructions for Schedule D (Form 1041).