Form 5227 is the yearly information return for a split-interest trust: every charitable remainder trust under section 664, every pooled income fund and charitable lead trusts that meet the section 4947(a)(2) definition. It reports the trust's income, distributions and balance sheet, and its answers show whether private foundation excise taxes apply. For calendar year 2025 it's due April 15, 2026.
Everything here comes from the 2025 Form 5227 and its instructions (dated Dec 3, 2025), as of October 2026. It's written for trustees and for the people who prepare the return for them.
What makes a trust a split-interest trust
The instructions use three tests. The trust isn't exempt under section 501(a), some of its unexpired interests go to non-charitable purposes, and amounts were transferred into it after May 26, 1969, for which a charitable deduction was allowed. In plain terms, a family member or other private person gets one slice of the trust and a charity gets the other.
| Trust type | Who gets paid first | Who gets the rest |
|---|---|---|
| Charitable remainder annuity trust (CRAT) | A private recipient gets a fixed annuity, at least 5% but not more than 50% of the starting value | A charity |
| Charitable remainder unitrust (CRUT) | A private recipient gets a fixed percentage, between 5% and 50%, of the trust's value each year | A charity |
| Charitable lead trust | A charity gets an annuity or unitrust amount for the lead period | A private beneficiary |
| Pooled income fund | Donors get a lifetime income interest | The charity that runs the fund |
For both remainder trust types, the charity's remainder has to be worth at least 10% of the property put in. A CRUT's trustee has to value the assets every year, because the payout moves with them.
The one exception
A trust created before May 27, 1969, doesn't file if all its corpus went in before that date, or no deduction was allowed for any later transfer. That exception is lost the moment a deductible contribution arrives after May 26, 1969. From that year on it files like any newer trust.
Which parts your trust fills in
The form is built so each trust type skips what doesn't apply. Parts and lines meant for one type carry a label in brackets, and anything without a label is for every split-interest trust.
- Part I: income and deductions, Sections A to D. All trusts.
- Part II: schedule of distributable income. Section 664 trusts only.
- Part IV: balance sheet. Every filer completes columns (a) and (b), and every CRUT also completes column (c).
- Parts V and VI: CRAT and CRUT information respectively.
- Parts VII and VIII: statements about activities, and the questions that decide if Form 4720 is needed.
- Part IX: a questionnaire with sections for all trusts, lead trusts, pooled income funds and remainder trusts.
- Schedule A: accumulations, distributions to non-charitable recipients, and donor and asset information.
Parts VII and VIII are skipped by remainder or lead trusts whose charitable interests involve only cemeteries or war veterans' posts. Everyone else answers every question in Part VII, writing N/A where a line doesn't apply.
Why Part VIII matters most
A split-interest trust carries many of the same restrictions as a private foundation. Part VIII checks for self-dealing with disqualified persons under section 4941, excess business holdings under section 4943, jeopardizing investments under section 4944 and taxable expenditures under section 4945. Any of those are paid on Form 4720, which the trust files alongside Form 5227.
A charitable remainder trust with unrelated business taxable income has a separate trap. Section 664(c)(2) taxes it at an amount equal to that income, treated as a chapter 42 excise tax, so the trust answers Yes and files Form 4720 too.
Deadline, extension and e-filing
For calendar year 2025 the return is due April 15, 2026. A trust that terminates files its final short-year return by the 15th day of the 4th month after termination. Form 8868 gets an automatic extension, but only if it's filed by the original due date.
Since T.D. 9972, a filer with 10 or more returns of any type in the calendar year must e-file, counting W-2s, 1099s and quarterly 941s. The instructions say a paper return filed when e-filing was required is treated as not filed at all. Paper filers in the United States mail it to the Internal Revenue Service Center, Ogden, UT 84201-0027.
The penalties, as of October 2026
| Failure | Penalty |
|---|---|
| Late, incomplete or incorrect return | $25 a day, up to $13,000 per return |
| Same, where gross income is over $327,000 | $130 a day, up to $65,000 per return |
| Trustee ignores an IRS written demand | $10 a day, up to $6,500 per return |
These apply unless the failure is due to reasonable cause. A trustee who knowingly fails to file faces the same penalty as the trust.
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Privacy: what the public can see
Form 5227 is open to public inspection, so don't put social security numbers on it except on Schedule A. Schedule A, the Schedule K-1s, the trust agreement and amendments, and any attachment that references donors stay private. The first return for a CRAT, CRUT or charitable lead trust also needs a copy of the trust instrument with a written declaration under penalties of perjury that it's complete.
If a notice or letter mentions another form, our political organization notice explainer explains what it is.
How it fits with Form 1041
Form 5227 replaced the old Forms 1041-A and 1041-B for these trusts. It's an information return, so a trust that owes income tax may also have Form 1041 and 1041-ES duties. For a charitable remainder trust, an amended 5227 that changes a recipient's income or distributions also needs an amended Schedule K-1 (Form 1041), with a copy to each recipient.
The verdict
If the trust pays a private person and a charity, assume it files Form 5227 every year, even in a quiet year. Get the April 15 date and the e-file count right first, because a late return costs per day and a wrongly filed paper return counts as no return. Then spend your time on Part VIII, where a self-dealing slip turns into Form 4720 tax.
Tax rules change from year to year, so the revocable trust election guide is a useful reference.
Frequently asked questions
Who has to file Form 5227?
Every charitable remainder trust under section 664, every pooled income fund and other split-interest trusts, such as charitable lead trusts, that meet the section 4947(a)(2) definition.
When is Form 5227 due?
For calendar year 2025 it's due April 15, 2026. Form 8868 gives an automatic extension if it's filed by that date.
Is Form 5227 public?
Yes, the return is open to public inspection, but Schedule A, Schedule K-1, the trust agreement and donor information aren't.
What's the penalty for filing Form 5227 late?
As of October 2026, $25 a day up to $13,000 per return, or $130 a day up to $65,000 if gross income is over $327,000.
Is e-filing required for Form 5227?
Yes, if you file 10 or more returns of any type in the calendar year, including W-2s and 1099s.
