Need a quick overview of the federal estate tax to make this crazy situation make sense? I found a good overview that just takes a few minutes. Since you’re probably from Pennsylvania (most of our clients are from South Eastern Pennsylvania) just ignore the last fifteen seconds on the Ohio inheritance tax. I’ll write a little overview for you on the Pennsylvania Inheritance tax down below.
But for now, click here for more on the current state of the federal estate tax.
The Pennsylvania inheritance tax overview: By: David M. Frees III, Esquire
Transfers on death to a spouse in Pennsylvania are taxed at a zero percent tax rate.
Transfers to children, grandchildren and linear descendants are taxed at 4.5% for Pennsylvania inheritance tax purposes.
Transfers to brothers and sisters are taxed at 12%.
Transfers to charities are taxed at a zero percent rate.
Transfers to all others are taxed at 15%.
There are many nuances, discounts, deductions, and specifics that cannot be covered here. If you’re an executor, make sure to get good advice before filing a form 1500 Pennsylvania Inheritance Tax Form.
P.S. Here’s another view on the federal estate tax and the problems created by congressional inaction.
P.P.S. Want the estate tax and inheritance tax secrets that they don’t want you to know? Do you know the pros and cons of using joint accounts in estate planning? Call for a complimentary consultation or for a free will update. Mention this code: DavidFrees for the free consult with David or one of the attorneys at Unruh, Turner, Burke and Frees.