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What would be the penalties and interest rate for unpaid inheritance tax.

Doylestown, PA |

Grandmother died in 1957 and her estate was never settled. She did not have a will. House is still titled in her name. I want to sell the house.

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Attorney answers 1


This is a tough problem. First you would need to somehow determine the fair market value of the house on the date of her death in 1957. Then you need to ascertain the PA inheritance tax rate and that would depend on who was entitled to the house under her will or under the PA laws of intestate succession. You would also need to ascertain whether an argument can be made that this house passed from her to perhaps your parents and then to you. You also need to determine if in fact you are solely entitled to this house and its proceeds; other family members may have rights here. Finally, as to your question, penalties and interest would run from 9 months after the date of death until payment is made. PA changes its rates over time so the computation is quite complex.
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