2006-10-25 09:58:41 · 9 answers · asked by zepfan12 2 in Business & Finance ➔ Personal Finance
Estate taxes are based on the total value of the estate of the deceased, not how much you received individually.
Generally they don't kick in until the estate is very large (over $1 million, but this changes every year). The taxes must be paid by the estate prior to distribution of the assets. (This doesn't mean that if they weren't you get out of it).
Check with a local estate or tax attorney to find out for sure.
2006-10-25 10:01:35 · answer #1 · answered by bride2be091507 2 · 1⤊ 0⤋
I believe that the estate usually pays the tax, unless the amount bequeathed to you has accrued interest between the time of the death and your receipt of the funds, then that amount (the interest) is taxable income to you.
At the time you received the funds, an explanation should have been provided by the Executor.
2006-10-25 10:49:04 · answer #2 · answered by PALADIN 4 · 0⤊ 0⤋
I don't know but I would think not. I am going through the same thing but with a larger sum of money. Good Luck
2006-10-25 10:08:04 · answer #3 · answered by Maggie 5 · 0⤊ 0⤋
Yes and no. You will have to pay income tax, but you will not have to pay estate taxes.
2006-10-25 10:17:43 · answer #4 · answered by NC 7 · 1⤊ 0⤋
Please check with an accountant or lawyer, or call the IRS or check the irs.gov web site. The IRS will not be sympathetic if you do the wrong thing and claim, "But someone on Yahoo answers told me it would be OK!"
2006-10-25 10:08:40 · answer #5 · answered by fyrfly 3 · 1⤊ 0⤋
make sure it is listed as a gift by who ever gave it to you. Then my friend no taxes.
I AM
2006-10-25 10:03:12 · answer #6 · answered by Anonymous · 1⤊ 0⤋
Yes, i had to pay it for 5,000 inheritance.
2006-10-25 09:59:49 · answer #7 · answered by Kevin Federline 2 · 0⤊ 0⤋
No.
So many myths about inherited money.
2006-10-25 10:51:24 · answer #8 · answered by derek 4 · 1⤊ 0⤋
No
2006-10-25 10:44:07 · answer #9 · answered by linko9789 1 · 1⤊ 0⤋