Updated June 17, 2026
Twelve states and the District of Columbia levy their own estate tax on top of whatever the IRS collects, and six states go further with an inheritance tax charged to the heir directly. A resident of Oregon or Massachusetts can owe a state estate tax on an estate the IRS wouldn't blink at. Here's every jurisdiction that applies one or the other, or both.
The 12 states plus DC with an estate tax
| State | Approximate exemption | Top rate |
|---|---|---|
| Connecticut | $13 million (tied to federal) | 12% |
| Hawaii | $5.49 million | 20% |
| Illinois | $4 million | 16% |
| Maine | $6.8 million | 12% |
| Maryland | $5 million | 16% |
| Massachusetts | $2 million | 16% |
| Minnesota | $3 million | 16% |
| New York | $6.94 million (2026 est.) | 16% |
| Oregon | $1 million | 16% |
| Rhode Island | $1.77 million | 16% |
| Vermont | $5 million | 16% |
| Washington | $2.193 million | 20% |
| District of Columbia | $4 million | 16% |
Four of the twelve states above (Connecticut, New York, Rhode Island, and Washington) were checked against a named primary source this session, alongside the federal figure itself; the rest are this site's existing model figures pending reverification. See the state dataset page for the source and verification flag behind each one.
New York has a notable "cliff" provision: if the gross estate exceeds 105% of the exemption, the entire taxable estate is subject to tax, not just the amount above the exemption. This is unusual nationally and worth planning around. Confirm current-year figures with New York's tax authority.
The 6 states with an inheritance tax
Iowa, Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania levy an inheritance tax on beneficiaries. Rates vary by the heir's relationship to the decedent. Spouses are universally exempt; children receive favorable treatment in most states. Distant relatives and unrelated heirs pay the highest rates, reaching 18% in New Jersey and Nebraska.
Can you plan around a state's tax by moving?
Domicile matters. Changing legal residence to a state with no estate or inheritance tax before death can eliminate that state-level bill, but states with estate taxes scrutinize claimed domicile changes closely. Physical presence, voter registration, and where you spend most of your time all factor in. Real estate physically located in an estate-tax state may still be taxed by that state regardless of where the decedent was domiciled. Talk to an estate planning attorney if you hold property across multiple states.
An educational reference, not legal or tax advice. State legislatures revisit these thresholds often; verify current rules with the relevant state tax authority before relying on a specific figure.
Add your own state to the math
See exactly how much of your estate a specific state's exemption and rate would touch.