Year end of a trust

There are two basic types of trust: inter vivos trust and testamentary trust. Inter vivos trust must have a December 31 year end. However, a testamentary trust can have a fiscal year end other than December 31.

A taxation year cannot exceed 12 months, so the executor of a testamentary trust can end the first fiscal year of the trust at any date up to the first anniversary of the settlor’s death. 

For example: John died on May 11, 2013. The first year end of the trust can be any time between May 12, 2013 and May 11, 2014.

Once the year end date is selected, it cannot be changed without the Minister’s approval.

Taxes on employment death benefits

The due dates to file income tax returns for deceased persons - final return

Additional information