Inheritance Tax

The inheritance tax was repealed. So, no inheritance tax returns (Form IH-6 for Indiana residents for Form IH-12 for non-residents) have to be prepared or filed. No tax has to be paid. In additon, no Consents to Transfer (Form IH-14) personal property or Notice of Intended Transfer of Checking Account (Form IH-19) are required for those dying after Dec. 31, 2012.

The La Porte County Inheritance Tax Division’s main function is to determine the inheritance tax liability of each heir or beneficiary in a decedent’s estate. Estate: Under the Internal Revenue Code, the value of a decedent’s gross estate is determined by including the value, at the time of death, of all real and personal property, including tangible and intangible property, wherever situated [26USCS-2031(a)].

It includes the value of all property to the extent of the decedent’s interest in it at the time of death. The taxable estate consists of the gross estate minus certain deductions for expenses, debt taxes, losses, charitable gifts, and bequests to the surviving spouse [26 USCS-2051].

FOR INDIVIDUALS DYING AFTER DEC. 31,2012, NO INHERITANCE TAX HAS TO BE PAID.