List of US States with Inheritance Tax Laws
Inheritance tax is a tax that is levied on the assets inherited by an individual after someone’s death. The tax is usually based on the value of the assets and the relationship between the deceased and the beneficiary. In the United States, the federal government does not impose an inheritance tax, but some states have their own inheritance tax laws. In this article, we will list all the states that have an inheritance tax.
Iowa
Iowa has an inheritance tax that ranges from 0.5% to 15%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
Kentucky
Kentucky has an inheritance tax that ranges from 4% to 16%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
Maryland
Maryland has an inheritance tax that ranges from 0% to 16%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
Nebraska
Nebraska has an inheritance tax that ranges from 1% to 18%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
New Jersey
New Jersey has an inheritance tax that ranges from 0% to 16%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
Pennsylvania
Pennsylvania has an inheritance tax that ranges from 0% to 15%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
Tennessee
Tennessee has an inheritance tax that ranges from 5.5% to 9.5%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
Washinton
Washington has an inheritance tax that ranges from 10% to 20%, depending on the value of the assets and the relationship between the deceased and the beneficiary.
Final Thoughts
It’s worth noting that some of these states have exemptions and deductions that can lower or eliminate the inheritance tax liability. Also, some states have estate taxes, which are different from inheritance taxes and are levied on the total value of a deceased person’s estate.
If you are the beneficiary of an estate in one of these states, it’s important to understand the inheritance tax laws and how they apply to your situation. Working with an experienced estate planning attorney can help you navigate these complex tax laws and minimize your tax liability.
