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Guru_Guy, Lawyer (JD)
Category: Tax
Satisfied Customers: 2418
Experience:  I am a lawyer who understands tax law and finance.
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Di I owe tax to CA or the IRS if I inherited 132K from my ...

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Di I owe tax to CA or the IRS if I inherited 132K from my fathers Oregon estate? I live in California and my brother, a Flordia resident was the executor? Thank you Dave Albrecht    [email protected]
Hi Dave, and sorry for your loss.

The good news is that both the federal government and California do not collect taxes on inherited income. The money does not have to be reported on any tax forms and you do not owe any money.

The one significant exception to this rule is if you received money from an IRA, 401(k), or some similar tax deferred account. If that was the case, you would receive a form 1099-R from the financial institution that maintained the account for your father showing how much of the money your received is taxable income. But if the inhertiance was simply savings and investments, or came from the sale of assets such as a house, there is no tax issue here.

I hope this helps!
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