Hello again acook,
There is no such thing in the US
as inheritance tax at the federal
level. Instead, the IRS
imposes an "estate tax
" on the value of any estate which has assets
that exceed a certain amount. That amount is currently set at $3.5 million. So if the decedent has an estate valued at more than $3.5 million, then estate taxes are assessed against the estate itself. Once estate taxes have been paid, the remaining assets pass to the beneficiaries
with no further federal tax
If you inherit money that is held in a tax-deferred account such as an IRA, then you would be subject to income tax on that money when it was withdrawn from the account. However, money held in a regular savings account, cash, homes or other property
are not subject to tax from the heirs and do not even need to be reported on your tax return
There are a few states which still impose some form
of inheritance tax, however, Florida is not one of them.
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