What are the states with no estate tax and no inheritance tax?

The following states have zero estate or inheritance tax:AlabamaAlaskaArizonaArkansasCaliforniaColoradoDelawareFloridaGeorgiaIdahoIndianaKansasLouisianaMichiganMississippiMissouriMontanaNevadaNew HampshireNew MexicoNorth CarolinaNorth DakotaOhioOklahomaSouth CarolinaSouth DakotaTennesseeTexasUtahVirginiaWest VirginiaWisconsinWyoming

How do inheritance tax rates vary by state?

Not every state has estate and/or inheritance taxes, and the ones that do all have vastly different percentages in the amounts and even who has to pay what on money from different members of a family. The best way to understand your local state's estate taxes is to check its website and/or local tax laws.

2026 Estate and Inheritance Taxes by State

Estate and inheritance taxes are complicated -- start here.

By Lyle Daly – Updated Jan 6, 2026 at 5:04 PM EST | Fact-checked by Parker Hicks

Key Points

Estate taxes are imposed on the deceased's estate before inheritance distribution.
Inheritance taxes are paid by heirs on received amounts, varying by state.
Federal estate tax applies only to estates over $13.61 million at rates up to 40%.

Estate and inheritance taxes are two types of death taxes. They apply to the assets a deceased person leaves behind, such as real estate, bank accounts, and securities.

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Securities

A financial security is a tradeable asset that has monetary value. There are many types of financial securities, often called “securities."

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In the United States, estate taxes are more common. There's a federal estate tax, although it only applies to estates worth more than $15 million for the 2026 tax year. Several states have their own estate taxes with lower thresholds, while six have inheritance taxes.

Because these taxes vary by state, location plays a key role in how much an estate and the beneficiaries of an inheritance pay. Keep reading for the most recent estate and inheritance tax rates by state.

Estate vs. inheritance taxes: What's the difference?

The difference between estate taxes and inheritance taxes is who pays them. Estate taxes are paid by the deceased's estate before any inheritance is issued. Inheritance taxes are paid by beneficiaries of an inheritance on the amount they receive.

For example, let's say a family member passes away in an area with a 5% estate tax and a 10% inheritance tax, and they leave you their estate worth $1 million. Here's how estate and inheritance taxes would work:

The estate would pay $50,000 (5%) in estate taxes.
You would receive $950,000.
You would pay $95,000 (10%) in inheritance taxes.
You would receive $855,000

Federal estate taxes

Federal estate taxes apply to estates worth more than $15 million as of 2025 for 2026. Tax rates range from 18% to 40%. There is no federal inheritance tax.

The following table lists federal estate tax rates based on the taxable amount, which is the value of the estate minus the $15 million exclusion:

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Data source: Internal Revenue Service (2025).
TAXABLE VALUE OF ESTATE (TOTAL VALUE OF ESTATE MINUS $13.61M)	FEDERAL ESTATE TAX RATE
Up to $10,000	18%
Over $10,000 to $20,000	20%
Over $20,000 to $40,000	22%
Over $40,000 to $60,000	24%
Over $60,000 to $80,000	26%
Over $80,000 to $100,000	28%
Over $100,000 to $150,000	30%
Over $150,000 to $250,000	32%
Over $250,000 to $500,000	34%
Over $500,000 to $750,000	37%
Over $750,000 to $1,000,000	39%
Over $1,000,000	40%

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States that don't have estate or inheritance taxes

The following states don't have estate or inheritance taxes:

Alabama
Alaska
Arizona
Arkansas
California
Colorado
Delaware
Florida
Georgia
Idaho
Indiana
Kansas
Louisiana
Michigan
Mississippi
Missouri
Montana
Nevada
New Hampshire
New Mexico
North Carolina
North Dakota
Ohio
Oklahoma
South Carolina
South Dakota
Tennessee
Texas
Utah
Virginia
West Virginia
Wisconsin
Wyoming

In those states, the only tax that would apply is the federal estate tax on estates worth more than $15 million.

States with estate taxes, inheritance taxes, or both

Now, let's look at the states with estate taxes, inheritance taxes, or both. Note that not all states have released their 2025 tax rates yet. We've included the most recent estate and inheritance tax rates that are currently available for each state.

Connecticut estate taxes

Connecticut has a flat-rate estate tax of roughly 12% with an $13.99 million annual exclusion as of 2025. The total tax that any estate must pay is capped at $15 million.

Hawaii estate taxes

Hawaii has an estate tax on estates worth more than $5.49 million. Estate tax rates range from 10% to 20%.

Here are the Hawaii estate tax rates:

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Source: State of Hawaii Department of Taxation (2023).
VALUE OF ESTATE	HAWAII ESTATE TAX RATE
$5,490,000 to $6,490,000	10.0%
$6,490,000 to $7,490,000	11.0%
$7,490,000 to $8,490,000	12.0%
$8,490,000 to $9,490,000	13.0%
$9,490,000 to $10,490,000	14.0%
$10,490,000 to $15,490,000	15.7%
Over $15,490,000	20.0%

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Illinois estate taxes

Illinois has an estate tax on estates worth more than $4 million. Estate tax rates range from 0.8% to 16%.

Although Illinois exempts estates up to $4 million from estate taxes, it taxes the entire amount of estates that are worth more than that. To determine tax rates, it uses the federal credit for state death taxes table. This table has more than 20 tax rates corresponding to different amount ranges.

For example, amounts of at least $40,000 but less than $90,000 have a tax rate of 0.8% -- but only if the estate is worth more than $4 million. The tax rate increases to 1.6% for amounts of at least $90,000 but less than $140,000. This pattern continues up to amounts of at least $10,040,000, which have a tax rate of 16%.

The easiest option for Illinois residents who want to figure out estate taxes is the Illinois Attorney General's estate tax calculator.

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Iowa inheritance taxes

Iowa has an inheritance tax, but in 2021, the state decided it would repeal this tax by 2025. It has been decreasing its inheritance tax by 20% per year since 2021. For deaths that occur in or after 2025, there will be no inheritance tax.

The inheritance tax in Iowa applies to estates of $25,000 or more. Estates with lower values are exempt from inheritance tax. Iowa also exempts beneficiaries from paying inheritance tax if they're a surviving spouse or a lineal ascendant or descendant to the deceased. Lineal ascendants and descendants include:

Parents, grandparents, and great-grandparents
Children, stepchildren, grandchildren, and great-grandchildren
Descendants by adoption

For other beneficiaries of an inheritance, the inheritance tax rate depends on the individual's relation to the deceased. Those who aren't exempt will be in one of two groups: Tax Rate B or Tax Rate C.

Tax Rate B applies to siblings, half siblings, sons-in-law, and daughters-in-law. Here are the rates for this group:

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VALUE OF INHERITANCE	IOWA INHERITANCE TAX RATE B (2024)
Up to $12,500	1.0%
Over $12,500 to $25,000	1.2%
Over $25,000 to $75,000	1.4%
Over $75,000 to $100,000	1.6%
Over $100,000 to $150,000	1.8%
Over $150,000	2.0%

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Tax Rate C applies to uncles, aunts, nieces, nephews, foster children, cousins, brothers-in-law, sisters-in-law, and all other individuals. Here are the tax rates for this group:

VALUE OF INHERITANCE	IOWA INHERITANCE TAX RATE C (2024)
Up to $50,000	2.0%
Over $50,000 to $100,000	2.4%
Over $100,000	3.0%

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Kentucky inheritance taxes

Kentucky has an inheritance tax ranging from 4% to 16% that varies based on the beneficiary's relation to the deceased. If the inheritance tax is paid within nine months of the decedent's death, a 5% discount is allowed. There are three classes of beneficiaries in Kentucky: Class A, Class B, and Class C.

Class A is exempt from paying inheritance taxes if the date of the death was after June 30, 1998. This class is close family members, and it includes:

Surviving spouses
Parents
Children and grandchildren
Siblings and half siblings

Class B beneficiaries receive a $1,000 inheritance tax exemption. This class is for other family members, and it includes:

Nieces and nephews (and half nieces and half nephews)
Daughters-in-law and sons-in-law
Aunts and uncles
Great-grandchildren

Class C beneficiaries receive a $500 tax exemption. All individuals not included in Class A or Class B, including cousins, are part of Class C.

Here are the Kentucky inheritance tax rates for Class B and Class C:

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Data source: Kentucky Department of Revenue (2024).
VALUE OF INHERITANCE	KENTUCKY CLASS B INHERITANCE TAX RATE	KENTUCKY CLASS C INHERITANCE TAX RATE
Up to $500	0%	0%
Over $500 to $1,000	0%	6%
Over $1,000 to $10,000	4%	6%
Over $10,000 to $20,000	5%	8%
Over $20,000 to $30,000	6%	10%
Over $30,000 to $45,000	8%	12%
Over $45,000 to $60,000	10%	14%
Over $60,000 to $100,000	12%	16%
Over $100,000 to $200,000	14%	16%
Over $200,000	16%	16%

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Maine estate taxes

Maine has an estate tax ranging from 8% to 12%. It offers an annual exclusion amount of $7 million for deaths in 2025.

Here are Maine's current estate taxes:

Data source: Maine Revenue Services (2025).
VALUE OF ESTATE	MAINE ESTATE TAX RATE (2024)
Up to $7,000,000	0%
Over $7,000,000 to $10,000,000	8%
Over $10,000,000 to $13,000,000	10%
Over $13,000,000	12%

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Maryland estate and inheritance taxes

Maryland is the only state that has both an estate tax and an inheritance tax.

The Maryland estate tax is 16% on estates worth more than $5 million. Its inheritance tax is 10% for those dying on or after July 1, 2000. However, beneficiaries with any of the following relationships to the deceased are exempt from paying the Maryland inheritance tax:

Children or other lineal descendants
Spouses of children or other lineal descendants
Spouses
Parents and grandparents
Stepchildren and stepparents
Siblings

When estate and inheritance taxes apply, the amount of the estate tax is reduced by the amount of the inheritance tax.

Massachusetts estate taxes

Massachusetts has an estate tax on estates worth more than $2 million. Estate tax rates range from 0.8% to 16%. Estates of decedents who died on or after Jan. 1, 2023, are allowed a credit of $99,600 to reduce the estate tax.

Like Illinois, Massachusetts uses the federal credit for state death taxes table to determine estate tax rates. It taxes the entire amount of the estate in excess of that $2 million threshold.

The federal credit for state death taxes table has a tax rate of 0% for the first $40,000. A tax rate of 0.8% applies to amounts of at least $40,000 but less than $90,000, and tax rates increase sequentially from there.

The full table of Massachusetts estate tax rates is available in the state's guide to estate taxes.

Minnesota estate taxes

Minnesota has an estate tax ranging from 13% to 16%. Estate taxes apply to estates worth more than $3 million as of 2025.

Here are Minnesota's estate tax rates:

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Data source: Minnesota Department of Revenue (2025).
VALUE OF ESTATE	MINNESOTA ESTATE TAX RATE (2023)
Up to $3,000,000	0.0%
Over $3,000,000 to $10,100,000	13.0%
Over $10,100,000 to $11,100,000	13.6%
Over $11,100,000 to $12,100,000	14.4%
Over $12,100,000 to $13,100,000	15.2%
Over $13,100,000	16.0%

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Nebraska inheritance taxes

Nebraska has an inheritance tax ranging from 1% to 15%. The tax rate and exemption amount depend on the beneficiary's relationship to the decedent. Surviving spouses don't need to pay inheritance tax in Nebraska.

Here are Nebraska's inheritance tax rates and exemption amounts:

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Data source: Legislature of Nebraska (2025).
RELATION TO DECEASED	NEBRASKA INHERITANCE TAX RATE	EXEMPTION AMOUNT
Immediate relatives	1%	$100,000
Remote relatives	11%	$40,000
All other beneficiaries	15%	$25,000

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For inheritance tax purposes, Nebraska considers the following relations to be immediate relatives:

Children, adopted children, grandchildren, and other lineal descendants
Siblings
Parents and grandparents
Spouses of any of the immediate relatives listed above
Relatives of the decedent's former spouse, if the decedent was married to the former spouse at the time of the former spouse's death

Nebraska considers the following relations to be remote relatives:

Nieces and nephews
Aunts and uncles
Lineal descendants or spouses of the remote relatives listed above

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New Jersey inheritance taxes

New Jersey has an inheritance tax ranging from 11% to 16%. The tax rate and the exemption amount depend on the beneficiary's relation to the deceased. New Jersey previously had an estate tax, but the state repealed it in 2018.

There are three classes of individual beneficiaries in New Jersey: Class A, Class C, and Class D.

Class A is exempt from New Jersey inheritance tax and includes the following relationships:

Surviving spouses, domestic partners, and civil union partners
Children, stepchildren, grandchildren, and other lineal descendants (does not include step-grandchildren or step-great-grandchildren)
Parents and grandparents

Class C has a $25,000 inheritance tax exemption. This class includes siblings and the child's spouse or civil union partner. Here are the New Jersey inheritance tax rates for Class C:

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Data source: New Jersey Division of Taxation (2026).
VALUE OF INHERITANCE	NEW JERSEY CLASS C INHERITANCE TAX RATE
Up to $25,000	0%
Over $25,000 to $1,100,000	11%
Over $1,100,000 to $1,400,000	13%
Over $1,400,000 to $1,700,000	14%
Over $1,700,000	16%

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Class D has no tax exemption. It includes anyone who isn't in Class A or Class C. It has a simple tax structure:

Data source: New Jersey Division of Taxation (2023).
VALUE OF INHERITANCE	NEW JERSEY CLASS D INHERITANCE TAX RATE
Up to $700,000	15%
Over $700,000	16%

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New York estate taxes

New York has an estate tax ranging from 3.06% to 16%. Estate taxes apply to estates worth more than the basic exclusion amount of $7.35 million as of 2026.

New York has an estate tax "cliff" for estates that exceed the exclusion amount by more than 5%. If an estate is within 5% of $7.35 million, then the estate tax only applies to the amount that exceeds that threshold. However, if an estate's value is more than 105% of the exclusion amount, then the entire estate is subject to estate taxes.

Tax rates start at 3.06% on amounts up to $500,000 and gradually increase to the highest rate of 16% on amounts of more than $10.1 million. The full tax table is available on the New York State Estate Tax Return Form ET-706.

Oregon estate taxes

Oregon has an estate tax ranging from 10% to 16%. The state has an exemption of $1 million in estate taxes.

Here are Oregon's estate tax rates:

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Data source: Oregon Department of Revenue (2026).
VALUE OF ESTATE	OREGON ESTATE TAX RATE (2026)
Up to $1,000,000	0.00%
Over $1,000,000 to $1,500,000	10.00%
Over $1,500,000 to $2,500,000	10.25%
Over $2,500,000 to $3,500,000	10.50%
Over $3,500,000 to $4,500,000	11.00%
Over $4,500,000 to $5,500,000	11.50%
Over $5,500,000 to $6,500,000	12.00%
Over $6,500,000 to $7,500,000	13.00%
Over $7,500,000 to $8,500,000	14.00%
Over $8,500,000 to $9,500,000	15.00%
Over $9,500,000	16.00%

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Pennsylvania inheritance taxes

Pennsylvania has an inheritance tax ranging from 4.5% to 15%. Inheritance tax rates depend on the beneficiary's relationship to the decedent. Surviving spouses and parents of children aged 21 or younger are exempt from paying inheritance taxes.

Here are Pennsylvania's inheritance tax rates:

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Data source: Pennsylvania Department of Revenue (2026).
RELATION TO DECEASED	PENNSYLVANIA INHERITANCE TAX RATE
Surviving spouses and parents of children aged 21 or younger	0.0%
Direct descendants and lineal heirs	4.5%
Siblings	12.0%
All other beneficiaries	15.0%

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Rhode Island estate taxes

As of 2026, Rhode Island has an estate tax on estates worth more than $1,802,431. Estate tax rates range from 0.8% to 16%.

Rhode Island uses the federal credit for state death taxes table to determine estate tax rates. It taxes the entire amount of estates that exceed the $1,802,431 threshold.

The full table of Rhode Island estate tax rates is available on the state's estate tax return Form RI-100A.

Vermont estate taxes

Vermont's estate tax is a flat rate of 16% on the portion of a taxable estate that exceeds the exclusion amount. The state's exclusion amount is $5 million.

Washington estate taxes

Washington has an estate tax ranging from 10% to 20%. The estate tax exclusion is $2,193,000.

Here are Washington's estate tax rates:

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Data source: Washington State Department of Revenue (2026).
VALUE OF ESTATE	WASHINGTON ESTATE TAX RATE (2026)	TAXES OWED
$0 to $1,000,000	10%	$10% of taxable amount
$1,000,000 to $2,000,000	15%	$100,000 plus 15% of the amount over $1,000,000
$2,000,000 to $3,000,000	17%	$250,000 plus 17% of the amount over $2,000,000
$3,000,000 to $4,000,000	19%	$420,000 plus 19% of the amount over $3,000,000
$4,000,000 to $6,000,000	23%	$610,000 plus 23% of the amount over $4,000,000
$6,000,000 to $7,000,000	26%	$1,070,000 plus 26% of the amount over $6,000,000
$7,000,000 to $9,000,000	30%	$1,330,000 plus 30% of the amount over $7,000,000
$9,000,000 and up	35%	$1,930,000 plus 35% of the amount over $9,000,000
$0 to $1,000,000	10%	$10% of taxable amount

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Washington, D.C., estate taxes

Here are the Washington, D.C., estate tax rates for 202: 16.0%. The estate tax exclusion is $4,873,200 as of 2025, and increases annually based on a cost-of-living adjustment.

Here are the Washington, D.C., estate tax rates for 2026:

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Data source: Washington, D.C., Office of Tax and Revenue (2024).
VALUE OF ESTATE	WASHINGTON, D.C. STATE TAX RATE (2024)
Up to $4,873,200	0.0%
Over $4,873,200 to $5,000,000	11.2%
Over $5,000,000 to $6,000,000	12.0%
Over $6,000,000 to $7,000,000	12.8%
Over $7,000,000 to $8,000,000	13.6%
Over $8,000,000 to $9,000,000	14.4%
Over $9,000,000 to $10,000,000	15.2%
Over $10,000,000	16.0%

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Sources

Comptroller of Maryland (2024). "Estate and Inheritance Tax Information.”
Connecticut State Department of Revenue Services (2024). "Estate and Gift Tax Information."
Internal Revenue Service (2023). "Estate Tax."
Internal Revenue Service (2023). "Instructions for Form 706."
Iowa Department of Revenue (2023). "Iowa Inheritance Tax Rates."
Kentucky Department of Revenue (2024). "Inheritance & Estate Tax."
Maine Revenue Services (2024). "Estate Tax (706ME)."
Mass.gov (2024). "A Guide to Estate Taxes."
Minnesota Department of Revenue (2025). "2025 Estate Tax Form M706 Instructions."
Nebraska Legislature (2022). "Legislative Bill 310."
New Jersey Division of Taxation (2020). "Inheritance Tax Rates."
New Jersey Division of Taxation (2021). "Inheritance Tax Beneficiary Classes."
New York State Department of Taxation and Finance (2019). "New York State Estate Tax Return ET-706."
New York State Department of Taxation and Finance (20232021). "Estate tax."
Oregon Department of Revenue (2023). "Form OR-706 Instructions."
Pennsylvania Department of Revenue (2023). "Inheritance Tax."
Rhode Island Division of Taxation (2021). "Form RI-100A Estate Tax Return."
Rhode Island Division of Taxation (2023). "Rhode Island estate tax credit and threshold set for 2024."
Rhode Island Division of Taxation (2024). "Estate Tax."
State of Hawaii Department of Taxation (2023). "Instructions for Form M6."
Vermont Department of Taxes (2021). "Estate Tax."
Washington, D.C., Office of Tax and Revenue (2024). "D-76 Estate Tax instructions."
Washington State Department of Revenue (2023). "Estate tax tables."

FAQs

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About the Author

Lyle Daly is a contributing Motley Fool stock market analyst covering information technology and cryptocurrency. Lyle has been a contributor at the financial services company since 2018. His work has been featured on USA Today, Yahoo Finance, MSN, Fox Business, and Nasdaq. Before joining The Motley Fool, he wrote for financial brands including Intuit.

TMFLyleDaly

@LyleDaly

The Motley Fool has a disclosure policy.

Estate and Inheritance Taxes by State in 2026

Estate and inheritance taxes are complicated -- start here.

Key Points

Securities

Estate vs. inheritance taxes: What's the difference?

Federal estate taxes

States that don't have estate or inheritance taxes

States with estate taxes, inheritance taxes, or both

Connecticut estate taxes

Hawaii estate taxes

Illinois estate taxes

Iowa inheritance taxes

Kentucky inheritance taxes

Maine estate taxes

Maryland estate and inheritance taxes

Massachusetts estate taxes

Minnesota estate taxes

Nebraska inheritance taxes

New Jersey inheritance taxes

New York estate taxes

Oregon estate taxes

Pennsylvania inheritance taxes

Rhode Island estate taxes

Vermont estate taxes

Washington estate taxes

Washington, D.C., estate taxes

Sources

Related investing topics

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FAQs

What are the states with no estate tax and no inheritance tax?

What are the states with no estate tax and no inheritance tax?

How do inheritance tax rates vary by state?

How do inheritance tax rates vary by state?

About the Author

Read Next

Premium Investing Services

Securities

Estate vs. inheritance taxes: What's the difference?

Federal estate taxes

States that don't have estate or inheritance taxes

States with estate taxes, inheritance taxes, or both

Connecticut estate taxes

Hawaii estate taxes

Illinois estate taxes

Iowa inheritance taxes

Kentucky inheritance taxes

Maryland estate and inheritance taxes

Massachusetts estate taxes

Minnesota estate taxes

Nebraska inheritance taxes

New Jersey inheritance taxes

New York estate taxes

Oregon estate taxes

Pennsylvania inheritance taxes

Rhode Island estate taxes

Vermont estate taxes

Washington estate taxes

Washington, D.C., estate taxes

Sources

Related investing topics

Accounts That Earn Compounding Interest

3 Best S&P 500 Index Funds to Buy in 2026

What Is Estate Planning?

6 Things to Know About Investing in Commercial Real Estate

FAQs

What are the states with no estate tax and no inheritance tax?

What are the states with no estate tax and no inheritance tax?

How do inheritance tax rates vary by state?

How do inheritance tax rates vary by state?