Form IT-R · IT-NR · L-8 · L-9
New Jersey Inheritance Tax Return Preparation (Form IT-R)
New Jersey taxes inheritances based on who receives them, not on the size of the estate. We prepare Form IT-R, calculate the tax by beneficiary and obtain the waivers needed to release the assets.
Monday to Friday 10am to 6pm, weekends 11am to 5pm. After hours, book a time.
How it works
How an inheritance tax return moves.
Most of the time goes into gathering date-of-death values, so the earlier we start, the more of the eight months you keep. Documents to gather:
- Death certificate
- Letters testamentary or letters of administration
- The will, if there is one
- List of assets with date-of-death values
- Expenses, with backup documentation
- The last filed tax return of the decedent
- List of beneficiaries and how each is related
Who pays
The tax depends on the beneficiary's class.
Spouse, civil union or domestic partner, children, grandchildren, parents, grandparents, stepchildren
Exempt
Brothers and sisters, a child's spouse or civil union partner
First $25,000 exempt, then 11% to 16%
Everyone else, including nieces, nephews, cousins and friends
15% to 16%, no tax under $500
Qualified charities, religious and educational institutions, government
Exempt
Estimate the tax
What would one beneficiary owe?
Pick who is inheriting and enter the amount. The figure updates as you type.
Estimated New Jersey inheritance tax
An estimate for one beneficiary, before deductions for debts and expenses. Call for the actual figure.
What we handle
From the first valuation to the last waiver.
The return
Form IT-R for residents, and Form IT-NR for nonresidents who owned New Jersey property.
Classification
Each beneficiary and each asset, including joint property, retirement accounts and life insurance.
Valuations
Date-of-death values for real estate, brokerage accounts and business interests.
Deductions
Debts, funeral costs and administration expenses that reduce the taxable amount.
Tax waivers
Form 0-1 waivers so banks, brokers and title companies can release or transfer assets.
Forms L-8 and L-9
When every beneficiary is Class A and a full return is not required.
Common questions
What families ask first.
Does New Jersey still have an estate tax?
No. The New Jersey Estate Tax was repealed for deaths on or after January 1, 2018. The Inheritance Tax is a separate tax and is still in force.
Do children or a spouse pay inheritance tax?
No. They are Class A beneficiaries and are exempt.
Is life insurance taxed?
Proceeds paid to a named beneficiary are exempt.
Why will the bank not release the account?
New Jersey banks can generally release only half of a decedent's account until the state issues a tax waiver. We file what is needed to get it.
Can the deadline be extended?
The filing date can be extended, but an extension only gives more time to file the return. It does not give more time to pay the tax due, and interest runs on any tax unpaid after eight months. To avoid interest, file the extension on time and pay the estimated tax owed by that date.
How long do the waivers take?
After the return is filed, waivers can take two to three months or longer, depending on the size of the estate and the state's backlog.
Do you work with estate attorneys?
Yes. We coordinate with the attorney handling probate so the tax filings match the estate accounting.
The eight months are already running.
The first consultation is free. We prepare IT-R returns for estates throughout New Jersey.