{"id":375012,"date":"2016-03-31T21:36:01","date_gmt":"2016-04-01T02:36:01","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/state\/new-jersey-law\/new-jersey-estate-taxes.html"},"modified":"2016-06-20T19:51:12","modified_gmt":"2016-06-21T00:51:12","slug":"new-jersey-estate-taxes","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/state\/new-jersey-law\/new-jersey-estate-taxes.html","title":{"rendered":"New Jersey Estate Taxes"},"content":{"rendered":"\n
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New Jersey Estate Taxes<\/h1>\n
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Created by FindLaw’s team<\/a> of legal writers and editors<\/i><\/p>\n\n | Last updated\n

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Does New Jersey Collect Estate Taxes ?<\/h2>\n

New Jersey is an expensive place to die. The state collects both an estate tax<\/a> and an inheritance tax. This is separate from any taxes the federal government<\/a> will collect. The Garden State is among one of several states that still assesses separate estate and inheritance taxes on certain property when a person dies.<\/p>\n

Estate Tax<\/h2>\n

Estates with a total value of more than $675,000 are subject to the New Jersey estate tax of up to 16%. However, property you leave to your spouse or civil union partner is exempt from state estate tax, no matter what the amount. Basically, the executor of your estate will have to file a state tax return. This tax only applies to New Jersey residents. So, if you own property here, but aren’t a resident, you won’t have to worry about the tax.<\/p>\n

Inheritance Tax<\/h2>\n

New Jersey also imposes an inheritance tax of up to 16% on the deceased person’s estate.The inheritance tax applies when someone who lived in New Jersey, or owned property there, leaves property to someone who isn’t a close relative.<\/p>\n

The inheritance tax will only apply to certain categories of beneficiaries. For example, if you are a spouse, domestic partner, parent, child, stepchild, or grandparent, the inheritance tax doesn’t apply. However, all other relationships may have to pay the tax at varying rates depending on your relationship to the person who died. For instance, a sibling will have to pay a certain tax percentage on any estate over $25,000.<\/p>\n

Inheritance Tax Exemptions<\/h2>\n

Some items are exempt from inheritance taxes such:<\/p>\n