What rate is the estate tax in New York?

Answer 1

Estate tax is a federal tax. Not a state tax.

The above is correct that there is a Federal Estate Tax, that is going through all types of changes (as to what triggers it and such), currently. BUT THEY TAHT DOES NOT MEAN STATES DON'T HAVE THEM TOO!

HOWEVER almost all states have extate/death &/or inheritance taxes too!

An exact rate is almost unimportant because what is included in the estate, and what may be exempt depends on both the asset and whom it may be going to. You need to work thoguh many isssues to get to thebottom of it!

For purposes of New York State estate tax, the gross estate includes all property that a person owned, had control over, or had an interest in on the date of his or her death.

Filing requirements

• An estate is required to file a New York State estate tax return if the total of the federal gross estate plus the federal adjusted taxable gifts and specific exemption exceeds $1 million, and the individual was either:
  • a resident of the state at the time of death; or
  • a resident or citizen of the U.S. at the time of death but not a resident of the state, whose estate includes real or tangible personal property located in the state.
• For an individual who was not a resident or citizen of the U.S. at the time of death, the estate must file a New York State estate tax return if the estate includes real or tangible personal property located in the state and the gross estate located in the U.S. exceeds the filing limit. The filing limit is $60,000 reduced by the sum of:
  • the gift tax specific exemption applicable to certain gifts made in 1976, and
  • the total taxable gifts made after 1976 that are not included in the gross estate.

When to file and pay

• Estates must file and pay the tax using Form ET-706, New York State Estate Tax Return, within 9 months after the decedent's date of death.
• Estates must submit a completed Federal Form 706, United States Estate Tax Return with the NYS estate tax return, even if the estate is not required to file a federal estate tax return with the IRS.
• Estates may apply for an extension of time to file the return and/or pay the tax using Form ET-133, Application for Extension of Time to File and/or Pay Estate Tax. An extension of time to file generally may not exceed six months. In addition, an extension of time to pay may be granted for up to four years in cases where payment within 9 months of death results in undue hardship to the estate. In either case, interest will be due.
• Penalties may apply for late filing or payment.

Tax rates

New York's estate tax is calculated by using a graduated rate schedule. Form ET-706 lists the complete rate schedule. For additional information, see Form ET-706-I, Instructions for Form ET‑706 New York State Estate Tax Return.