{"id":374293,"date":"2016-04-11T01:22:51","date_gmt":"2016-04-11T06:22:51","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/state\/minnesota-law\/minnesota-probate-and-estate-tax-laws.html"},"modified":"2016-06-20T00:00:00","modified_gmt":"2016-06-20T05:00:00","slug":"minnesota-probate-and-estate-tax-laws","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/state\/minnesota-law\/minnesota-probate-and-estate-tax-laws.html","title":{"rendered":"Minnesota Probate and Estate Tax Laws"},"content":{"rendered":"\n
\n \n
\n

Minnesota Probate and Estate Tax Laws<\/h1>\n
\n
\n

Created by FindLaw’s team<\/a> of legal writers and editors<\/i><\/p>\n\n | Last updated\n

\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
\n

This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

\n \n <\/i>\n Fact-Checked\n <\/summary>\n\n
\n

The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n

We never want to imagine a friend or family member passing away, but in that unfortunate event, we do have to figure out what happens next. When a person dies, they are legally referred to as a "decedent," and the possessions they leave behind are known as an "estate." This can be anything from physical property like a house or a car to financial interests in stocks or companies.<\/p>\r\n

When it comes time to settle the decedent’s affairs, this estate administration<\/a> normally occurs in a probate court<\/a><\/u>, and the exact disposition of the property will generally depend on the specific circumstances of the decedent and the amount of his or her assets. Here’s a brief introduction to probate and estate tax laws in Minnesota.<\/p>\r\n

Probate and Estate Tax Statutes in Minnesota<\/h2>\r\n

Minnesota’s probate and estate tax laws are highlighted in the following table.<\/p>\r\n\r\n

Code Sections<\/b><\/p>\r\n<\/td>\r\n

Uniform Probate Code: MN Statutes \u00a7524.1, et seq.<\/a><\/p>\r\n

Estate Tax: MN Statutes \u00a7291.005, et seq.<\/a><\/p>\r\n<\/td>\r\n<\/tr>

Types of Estate Administration<\/b><\/p>\r\n<\/td>\r\n

Minnesota gross estate: the federal gross estate of a decedent after<\/p>\r\n

Excluding any property included in the estate outside Minnesota; and<\/p>\r\n

Including any property omitted from the federal gross estate which is includable in the estate, is in Minnesota, and was not disclosed to federal taxing authorities.<\/p>\r\n<\/td>\r\n<\/tr>

Family Allowances<\/b><\/p>\r\n<\/td>\r\n

The amount of the family allowance may be determined by the personal representative in an amount not to exceed $1,500 per month.<\/p>\r\n

Lasts for one year if the estate is inadequate to discharge allowed claims; or for 18 months if the estate is adequate to discharge allowed claims.<\/p>\r\n<\/td>\r\n<\/tr>

What Assets Go Through Probate?<\/b><\/p>\r\n<\/td>\r\n

A person\u2019s real and personal property at the time of his or her death.<\/p>\r\n<\/td>\r\n<\/tr>

What Assets Skip Probate Entirely?<\/b><\/p>\r\n<\/td>\r\n

Property not exceeding $10,000 in value in excess of any security interests therein, in household furniture, furnishings, appliances, and personal effects, subject to an award of sentimental value property under section 525.152<\/a>; and<\/p>\r\n

One automobile, if any, without regard to value.<\/p>\r\n<\/td>\r\n<\/tr>

Estate Taxes<\/b><\/p>\r\n<\/td>\r\n

For estates of decedents dying in 2014:<\/p>\r\n\r\n

Amount of Minnesota Taxable Estate<\/p>\r\n<\/td>\r\n

Rate of Tax<\/p>\r\n<\/td>\r\n<\/tr>

Not over $1,200,000<\/p>\r\n<\/td>\r\n

None<\/p>\r\n<\/td>\r\n<\/tr>

$1,200,000 – $1,400,000<\/p>\r\n<\/td>\r\n

nine percent of the excess over $1,200,000<\/p>\r\n<\/td>\r\n<\/tr>

$1,400,000 – $3,600,000<\/p>\r\n<\/td>\r\n

$18,000 plus ten percent of the excess over $1,400,000<\/p>\r\n<\/td>\r\n<\/tr>

$3,600,000 – $4,100,000<\/p>\r\n<\/td>\r\n

$238,000 plus 10.4 percent of the excess over $3,600,000<\/p>\r\n<\/td>\r\n<\/tr>

$4,100,000 – $5,100,000<\/p>\r\n<\/td>\r\n

$290,000 plus 11.2 percent of the excess over $4,100,000<\/p>\r\n<\/td>\r\n<\/tr>

$5,100,000 – $6,100,000<\/p>\r\n<\/td>\r\n

$402,000 plus 12 percent of the excess over $5,100,000<\/p>\r\n<\/td>\r\n<\/tr>

$6,100,000 – $7,100,000<\/p>\r\n<\/td>\r\n

$522,000 plus 12.8 percent of the excess over $6,100,000<\/p>\r\n<\/td>\r\n<\/tr>

$7,100,000 – $8,100,000<\/p>\r\n<\/td>\r\n

$650,000 plus 13.6 percent of the excess over $7,100,000<\/p>\r\n<\/td>\r\n<\/tr>

$8,100,000 – $9,100,000<\/p>\r\n<\/td>\r\n

$786,000 plus 14.4 percent of the excess over $8,100,000<\/p>\r\n<\/td>\r\n<\/tr>

$9,100,000 – $10,100,000<\/p>\r\n<\/td>\r\n

$930,000 plus 15.2 percent of the excess over $9,100,000<\/p>\r\n<\/td>\r\n<\/tr>

Over $10,100,000<\/p>\r\n<\/td>\r\n

$1,082,000 plus 16 percent of the excess over $10,100,000<\/p>\r\n<\/td>\r\n<\/tr><\/tbody><\/table>\r\n<\/td>\r\n<\/tr>

What Other Taxes Must be Paid?<\/b><\/p>\r\n<\/td>\r\n

Recapture Tax: If heir sells inherited property within three years of decedent’s death, may owe 16% of the claimed exclusion.<\/p>\r\n<\/td>\r\n<\/tr><\/tbody><\/table>\r\n

Minnesota Probate and Estate Tax Laws: Related Resources<\/h2>\r\n

Making estate decisions and navigating probate matters can be confusing. You can contact a Minnesota probate and estate administration attorney<\/a><\/u> if you would like legal assistance with a probate or estate tax matter. You can also find additional information and resources on this topic in FindLaw’s sections on Probate Basics<\/a><\/u>, Estate Tax Laws<\/a><\/u>, and Minnesota Estate Planning Laws<\/u>.<\/p>\r\n

\n \n Was this helpful?<\/span>\n \n Yes<\/span>\n \n \n \n <\/path>\n <\/g>\n \n \n <\/rect>\n <\/clipPath>\n <\/defs>\n <\/svg>\n <\/i>\n <\/button>\n \n No<\/span>\n \n \n \n \n <\/g>\n \n \n \n <\/clipPath>\n <\/defs>\n <\/svg>\n <\/i>\n <\/button>\n <\/div>\n <\/span>\n