New Jersey is considering eliminating its estate tax, but some are suggesting to instead scale it back but keep it on the books for the wealthiest estates.
Q. Estate taxes as a New Jersey resident drive me crazy. Clearly Florida seems to be the most tax-friendly place to move to, but I don’t like heat. What other options exist? I thought Pennsylvania would escape New Jersey’s estate tax, but then I learned that Pennsylvania has an inheritance tax that can be just about as high. As they say, taxes and death can’t be avoided. Can they?
The transfer inheritance tax, one of New Jersey's oldest taxes, dates back to 1892. This 16 percent levy is applied when property is transferred outside a deceased resident's immediate family. Another so-called "death tax," the estate tax, is applied on property valued at more than $675,000.
Jersey has one of the highest tax rates in the nation for people who are alive – but it also one of the worst states in the country for taxpayers who die.