Inheritance Tax Calculator
Inheritance Tax Estimate
Estimate inheritance tax based on amount and state
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Formula
Inheritance Tax = (Inheritance Amount - Exemption) × State Rate. Exemptions and rates vary by state and relationship to the deceased. Spouses are always exempt.
Frequently Asked Questions
What is the difference between inheritance tax and estate tax?
Estate tax is paid by the deceased person's estate before assets are distributed (federal exemption: $13.61M in 2024). Inheritance tax is paid by the person receiving the inheritance. Only 6 states levy inheritance tax. Maryland is the only state with both.
Which states have an inheritance tax?
Six states have inheritance tax: Iowa, Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania. Rates and exemptions vary by state and your relationship to the deceased. Spouses are exempt in all states. Children are exempt in most states except Pennsylvania and Nebraska.
Do I have to pay taxes on inherited money?
In most states, no. Only 6 states have inheritance tax. If you live in one of those states, the amount depends on your relationship to the deceased and the amount inherited. Inherited assets receive a stepped-up cost basis for capital gains purposes.
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