David R. Bane, Attorney, Member of the PA and NJ Bar
Federal Estate Tax
As of 2023, there is no federal estate tax unless the value of an individual estate exceeds 12.92 million dollars. For married citizen taxpayers who file a Federal Estate Tax Return, the surviving spouse can claim the unused credit of the predeceased spouse so that most families can now bequeath up to $25.84 million dollars to their surviving heirs with no Federal Estate Tax. There is no tax to surviving citizen spouses regardless of the size of the estate. In 2023, the federal annual exclusion for reporting gifts is $ 17,000.00.
Pennsylvania Inheritance Tax New Jersey Inheritance Tax
Spouse – no tax Class A- Spouse and Children- no tax
Children – 4.5% of entire estate Class C and D - 11-16% of entire estate
Siblings – 12% of entire estate
All others- 15% of entire estate