do you have to claim or pay income tax on $10,000 on Inheritance ?

Question

I received $10,000 inheitance from my Uncle and wanted to know if I have to claim it on my income tax and have to pay?

Answer 1

No, you don't have to claim it on your income tax or pay any taxes on it. But once you get it, any income you earn from it is taxable.

Answer 2

You don't claim an inheritance on your tax return - taxes, if any, would have been paid by the estate before you got the inheritance.

If you received income-producing assets, then income from them after your Uncle died would be taxable to you. Or if the estate had income after he died, a share of that might be taxable to you - if it is, you should have gotten some paperwork on it from the estate.

Answer 3

Generally, property you receive as a gift, bequest, or inheritance is not included in your income. However, if property you receive this way later produces income such as interest or dividends, that income is taxable. Contact the IRS for further info.

Answer 4

If you inherit an IRA account from your uncle you will pay tax on that because it was funded with pre-tax dollars. but all other types of inheritance will not be subject to tax.

Answer 5

I believe you can receive up to $12,000 a year as a "gift" and not have to pay any tax on it. If the person dies and leaves it to you, I would assume it would be the same case. You may have received that much money because of tax reasons.

Answer 6

about 8 years ago they made it where there is no inheritence tax. If you want to verify this go to irs.gov and check it out.

Answer 7

yea you have to file taxes on them because if u don't the I R S will get after you and take it all but if you file taxes on them then you get to still get some of it

Answer 8

I don't think so..... To be on the safe side, call ask ask an estate lawyer or a par legal.

Answer 9

you pay inheritance tax

Answer 10

yes you do.