Updated 2026-07-08
The number that matters (plus one to watch)
New York's exemption comes with a trap most other states don't have.
| Figure | Amount |
|---|---|
| Exemption (basic exclusion) | $7,350,000 |
| Top rate | 16% |
| Cliff threshold | 105% of the exemption |
| Source | New York State Department of Taxation and Finance |
New York vs the federal exemption, and the cliff
New York's $7.35 million exemption is well below the $15 million federal figure, so an estate can owe New York tax while owing the IRS nothing. New York adds a second wrinkle the federal system doesn't have: if the gross estate exceeds 105% of the exemption, the entire taxable estate becomes subject to tax, not just the amount above the threshold. That "cliff" turns a small valuation swing near the line into a much larger bill.
What the calculator adds
Run a New York estate value through the estate tax calculator to see the state and federal figures together. Careful planning, lifetime gifting (the gift tax calculator) among the tools, can help keep a gross estate under the 105% line and avoid the disproportionate tax the cliff creates.
Things to know before you file in New York
The 105% cliff makes valuation timing more consequential in New York than in most states, so an appraisal taken close to the date of death matters more here. Confirm the current exemption and cliff threshold with the New York State Department of Taxation and Finance, since both figures can move from year to year.