Discussion:NJ Inheritance Taxes..
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Discussion Forum Index --> Tax Questions --> NJ Inheritance Taxes..
| 2 April 2006 | |
| Client and her son inherited house from client's sister. House was sold month after death. I'm questioning the $41,000 held in escrow by attorney at closing. NJ tax rates are based on percentages, etc. I'm assuming the amount withheld was based on the sales price. Taking into consideration the appraisal and prep needed to sell the house...there actually would be a loss when sold. Is there anything "I" need to do regarding the estate tax??? | |
| 2 April 2006 | |
| Sorry...I guess what I meant to ask was....The closing papers show "Estate Tax Return--Escrow Payable To...... with $41,000 being paid from seller's funds. I'm wondering if there is anything "I" need to do for my client regarding this amount. | |
| 2 April 2006 | |
| Sister to sister is Class "C" transfer. 11% on first 1,075,000.
There is also an estate tax. | |
| 2 April 2006 | |
| That being said....11% of $325,000 would only amount to $$35,750...BUT.....as this was inherited by sister AND nephew...the 11% for the sister would have only been on 1/2 (162,500) making taxes due to be $17,875.... I think I'm making my head hurt.....WHAT EXACTLY DO I DO???? You mentioned also an estate tax???? | |
| 2 April 2006 | |
| New Jersey has both an inheritance tax and an estate tax, which the last time I looked was decoupled from the Federal Estate Tax.
My practice is in New York and I can only give you rough details. You might check their website. | |
| 2 April 2006 | |
| Thanks, I will..But, not now. I've been at this desk since 6:45AM.....it's time to shut down!
Thank you, again, for your time spent with me.. This site is fantastic!! | |
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