Inheritance tax rate and filing?

Asked about 5 years ago - Houston, TX

I received an inheritance of around 5k and will need to pay taxes on it. How do I go about filing and what is the tax rate in TX

Attorney answers (3)

  1. Randall S Perrier

    Pro

    Contributor Level 10

    3

    Lawyers agree

    Answered . Congrats on the inheritance. As a general rule, you need not pay taxes on money you receive by gift or inheritance. One exception to this rule occurs, however, when the executor of the estate charged with ensuring the estate has paid all its state and federal inheritance taxes.

    You should be able to ask the executor of the estate whether the estate was "taxable." If the executor is unable to answer this question easily, you might consider engaging your own lawyer to confirm that all of the estate's taxes have been paid.

    This posting is for educational purposes and does not create an attorney-client relationship between us.

  2. Steven J. Fromm

    Contributor Level 20

    3

    Lawyers agree

    Answered . Generally, the beneficiary is not subject to inheritance tax if they receive the bequest from the estate. Also, you do not pay any income tax on this bequest. There are exceptions in certain cases, especially, if there is a tax allocation clause in the will. To make sure, consult with the attorney for the estate.

    Hope this helps.

    LEGAL DISCLAIMER
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    By using this site you understand and agree that there is no attorney client relationship or confidentiality between you and the attorney responding. This site should not be used as a substitute for competent legal advice from a licensed attorney that practices in the subject area in your jurisdiction and with whom you have an attorney client relationship. The law changes frequently and varies from jurisdiction to jurisdiction. The information and materials provided are general in nature, and may not apply to a specific factual or legal circumstance described in the question or omitted from the question.
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  3. Henry Daniel Lively

    Contributor Level 20

    1

    Lawyer agrees

    Answered . Inheritance tax should have been paid by the estate, and not you. Check with the attorney for the estate to make sure all of the taxes were paid.

    Any individual seeking legal advice for their own situation should retain their own legal counsel as this response provides information that is general in nature and not specific to any person's unique situation. Circular 230 Disclaimer - Advice given in this response cannot be used to eliminate penalties with the IRS or any other governmental agency.

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