State -Estate and Inheritance Taxes

The difference between estate taxes and inheritance taxes is who pays them. 
Estate taxes are paid by the decedent’s estate before assets are distributed to heirs and are thus imposed on the overall value of the estate.
Inheritance taxes are remitted by the recipient of a bequest and are thus based on the amount distributed to each beneficiary.
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Pennsylvania Inheritance Tax

 

Eleven states have only an estate tax: Connecticut, Hawaii, Illinois, Maine, Massachusetts, Minnesota, New York, Oregon, Rhode Island, Vermont and Washington. The District of Columbia does, as well. Estate taxes are levied on the value of a decedent's assets after debts have been paid.                 

 

Iowa, Kentucky, Nebraska, New Jersey and Pennsylvania have only an inheritance tax — that is, a tax on what you receive as the beneficiary of an estate. Kentucky, for example, taxes inheritances at up to 16 percent. Spouses and certain other heirs are typically excluded by states from paying inheritance taxes.

 

Maryland is the lone state that levies both an inheritance tax and an estate tax.

  

Pennsylvania Inheritance Tax Info
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