Inheritance tax on non-estate assets should not have been paid from the estate when the decedent died intestate. The inheritance tax on non-estate assets should be calculated without regard to deductions unless it can be shown that the transferees of … Continue reading
Tag Archives: Inheritance Tax
Generally speaking, the Pennsylvania inheritance tax is applied to the pre-tax estate and not the estate after payment of the tax, and the pre-residuary gifts is paid from the residue. The Commonwealth Court has held that, when the residue is depleted by the tax on pre-residuary gifts, the tax rate to apply to the residue is the same rate that applies to the pre-residuary gifts, and the same rationale could apply to estate in which the residue is not depleted by the tax.
Continue reading