Delaware Code Title 30 Sec. 1639 – Taxable income of a nonresident estate or nonresident trust
(a) General rules. — For purposes of Chapter 11 of this title, in the case of a nonresident estate or nonresident trust:
(1) Items of income, gain, loss and deduction mean those derived from, or connected with, sources in this State.
(2) Items of income, gain, loss and deduction entering into the definition of federal distributable net income include such items from another estate or trust of which the first estate or trust is a beneficiary.
(3) The source of items of income, gain, loss or deduction shall be determined under rules or regulations prescribed by the Director in accordance with the rules of § 1124 of this title, as if the estate or trust were a nonresident individual.
Terms Used In Delaware Code Title 30 Sec. 1639
- Director: means the Director of the Division of Revenue or the Secretary of Finance of the State. See Delaware Code Title 30 Sec. 502
- Nonresident estate: means an estate which is not a resident estate. See Delaware Code Title 30 Sec. 1601
- Nonresident trust: means a trust that is not a resident trust of this State. See Delaware Code Title 30 Sec. 1601
- State: means a state of the United States, the District of Columbia, Puerto Rico, The United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. See Delaware Code Title 30 Sec. 502
- Tax: shall be deemed also to refer to license fees imposed under Part III of this title. See Delaware Code Title 30 Sec. 502
- Taxable: means any person, fiduciary, association of persons, syndicate, joint venture or copartnership subject to making return or to payment of tax imposed by this title. See Delaware Code Title 30 Sec. 101
- Trust: means an entity classified as a trust for federal income tax purposes, other than a trust of which the grantor or another person is treated as the owner of the entire trust under §§ 672 through 679 of the Internal Revenue Code [26 U. See Delaware Code Title 30 Sec. 1601
(b) Determination of taxable income. — For purposes of Chapter 11 of this title, the taxable income of a nonresident estate or nonresident trust consists of:
(1) Its share of items of income, gain, loss and deduction which enter into the federal definition of distributable net income;
(2) Increased or reduced by the amount of any items of income, gain, loss or deduction which are recognized for federal income tax purposes but excluded from the federal definition of the distributable net income of the estate or trust; and
(3) Less the amount of the deduction for its federal exemption.