Inheritance and Estate Tax Calculator
Estimate federal estate tax, a simple state estate-tax layer, recipient-based inheritance tax, deductions, exclusions, credits, and net estate after death taxes.
Last Updated: May 2026
Estimate Estate Tax, Inheritance Tax, and Net Estate
Build a federal estate-tax estimate, add a simple state estate-tax layer, and model relationship-based inheritance tax for beneficiary transfers.
Estate value and deductions
Fair market value of assets included in the estate.
Mortgages, liens, personal debts, and claims against the estate.
Executor, attorney, appraisal, funeral, and administration expenses.
Other deductible items before taxable estate, if any.
Transfers intended to qualify for the marital deduction.
Transfers intended to qualify for the charitable deduction.
State death tax deduction used in the federal taxable estate estimate.
Federal estate tax inputs
Default is the 2026 federal basic exclusion amount.
Deceased spousal unused exclusion, if portability applies.
Other restored or adviser-provided exclusion amount.
Post-1976 adjusted taxable gifts included in the federal tax base.
Gift tax payable under date-of-death rates, if known.
Manual reduction to applicable credit, if a worksheet requires it.
Other federal estate-tax credits such as foreign death tax credits.
State estate tax layer
Positive or negative adjustment from federal taxable estate.
State exclusion or exemption amount.
Simple flat state estate-tax rate.
State estate-tax credits or rebates.
Inheritance tax by beneficiary
Spouse, charity, or other exempt beneficiary transfer.
Transfer to children or lineal heirs.
Exemption for lineal-heir transfers.
Inheritance tax rate for lineal heirs.
Transfer to sibling beneficiaries.
Exemption for sibling transfers.
Inheritance tax rate for siblings.
Transfer to other taxable beneficiaries.
Exemption for other beneficiaries.
Inheritance tax rate for other beneficiaries.
Federal exclusion is editable
Defaults to 2026, but can be changed for another year or adviser worksheet.
State tax stays local
Enter the local exemption, rate, credit, and inheritance-tax classes that apply.
Audit rows are visible
Review taxable estate, unified credit, state tax, and beneficiary tax separately.
Estate planning estimate only
Estate and inheritance tax depends on domicile, property situs, trust terms, valuation, deductions, DSUE elections, state forms, and final filing positions. Use this calculator for planning and verify with a qualified tax or estate adviser.
Reviewed For Methodology, Labels, And Sources
Every CalculatorWallah calculator is published with visible update labeling, linked source references, and review of formula clarity on trust-sensitive topics. Use results as planning support, then verify institution-, policy-, or jurisdiction-specific rules where they apply.
Reviewed by Iliyas Khan, Chief Operating Officer. Page updated May 2026. Tax, sales tax, insurance, and health calculators are reviewed when rules, rates, eligibility assumptions, healthcare standards, or source references change. Topic ownership: Tax calculators, Sales tax calculators, Insurance calculators, Health calculators.
Tax credentialed review: Named internal reviewer: Iliyas Khan, Chief Operating Officer. External credentialed professional review is still required before this page is treated as professional advice.
Internal tax and sales-tax methodology reviewer. Review scope: calculator assumptions, labels, source context, workflow clarity, and compliance-sensitive disclaimers.
Relevant review context: CalculatorWallah tax and sales-tax calculator workflow owner; Source-first review of IRS, state revenue, rate, and filing-sensitive references; Compliance-sensitive labels, assumptions, and user-facing disclaimer review.
Required professional credentials: CPA, Enrolled Agent, licensed tax professional. Scope: tax formulas, jurisdiction assumptions, withholding language, filing-sensitive examples, and compliance caveats.
This page is educational planning support. A named CPA, EA, or licensed tax professional should review the page before it is positioned as tax advice or used for filing decisions.
Source expectation: Review should cite current IRS, state revenue department, payroll-tax, or official tax authority sources where applicable.
How to Use This Calculator
Start with the gross estate value and deductions from the estate inventory or adviser worksheet. Then review the federal exclusion inputs. The default basic exclusion is the 2026 amount, but every federal field is editable.
Use the state estate tax and inheritance tax sections only when a local death tax applies. For inheritance tax, enter the transfer amount, exemption, and rate for each beneficiary relationship class.
Step 1: Enter estate value and deductions
Start with gross estate value, then enter debts, mortgages, funeral and administration expenses, marital deduction, charitable deduction, and other deductions.
Step 2: Confirm federal exclusion inputs
Use the 2026 default basic exclusion or edit it, then add DSUE, restored exclusion, taxable gifts, and federal credits if they apply.
Step 3: Add state estate tax assumptions
Enter a state estate exemption, flat rate, credit, and local adjustment only if your jurisdiction has a death-tax layer.
Step 4: Model beneficiary inheritance tax
Enter transfer amounts, exemptions, and rates for lineal heirs, siblings, and other beneficiaries.
Step 5: Review tax and audit rows
Check federal estate tax, state estate tax, inheritance tax, net estate, filing threshold, and beneficiary-level tax rows.
How the Estate and Inheritance Tax Estimate Works
The calculator separates estate-level tax from beneficiary-level tax. Federal estate tax is computed with a simplified Form 706-style workflow: taxable estate plus adjusted taxable gifts, unified rate table, applicable credit, gift-tax-payable input, and other credits. State estate tax and inheritance tax remain editable because local rules vary.
| Federal step | What it means | Calculator treatment |
|---|---|---|
| Gross estate | Fair market value of assets included in the estate. | Starting point before deductions. |
| Taxable estate | Gross estate minus entered deductions. | Used before adding adjusted taxable gifts. |
| Adjusted taxable gifts | Post-1976 taxable gifts included in the federal transfer-tax base. | Added to taxable estate for tentative tax. |
| Unified rate table | Federal estate and gift tax table with a 40% top rate above $1,000,000. | Applies before the unified credit. |
| Applicable credit | Credit produced by basic exclusion, DSUE, and restored exclusion. | Reduces tentative federal estate tax. |
Rules were reviewed in May 2026. Federal estate tax is estate-level transfer tax. It uses taxable estate, adjusted taxable gifts, and the unified credit rather than a simple flat tax on inheritance received.
Estate Tax, Inheritance Tax, Exclusions, and Beneficiaries
What This Calculator Covers
This page fills the estate-tax and inheritance-tax workflow without duplicating ordinary income tax, property tax, or capital gains calculators. It focuses on death transfer taxes: federal estate tax, simple state estate tax, inheritance tax by beneficiary class, and net estate after tax.
The default federal basic exclusion is $15,000,000 for 2026, and the federal top rate shown in the model is 40%.
State Estate Tax vs Inheritance Tax
A state estate tax usually applies to the estate before distribution. An inheritance tax usually depends on who receives the property. For example, a spouse, child, sibling, unrelated beneficiary, charity, and trust can be treated differently.
| Layer | How it usually works | Calculator treatment |
|---|---|---|
| State estate tax | Usually estate-level tax before distribution. | This calculator uses an editable exemption, flat rate, adjustment, and credit. |
| Inheritance tax | Usually beneficiary-level tax based on relationship and transfer amount. | This calculator lets each beneficiary class have its own amount, exemption, and rate. |
| No-tax states | Many states have no estate or inheritance tax. | Leave state and beneficiary rates at zero when no local death tax applies. |
| Complex states | Some states use brackets, cliffs, special deductions, or separate property-situs rules. | Use the result as a planning estimate and verify against local forms. |
Limits and Next Steps
Use the result for planning, document review, beneficiary conversations, or adviser prep. If inherited property will later be sold, move the expected sale result into the Capital Gains Tax Calculator. If the estate includes real estate, estimate ongoing local bills in the Property Tax Calculator.
| Limit | Why it matters |
|---|---|
| Valuation discounts | The calculator does not model discounts for closely held business interests, lack of marketability, minority interests, or special-use valuation. |
| Trusts and portability | QTIP, credit shelter trusts, QDOT, DSUE elections, and late portability relief can change the actual result. |
| State brackets | The state estate tax layer is simple and flat. States with graduated tables need a separate bracket worksheet. |
| Probate vs non-probate assets | Beneficiary transfers entered may include assets outside probate, but local inheritance tax can still apply to certain non-probate transfers. |
Keep the research moving with Taxable Income Calculator, Property Tax Calculator, Capital Gains Tax Calculator, and Federal Income Tax Calculator.
Frequently Asked Questions
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- 1.IRS - Estate Tax(Accessed May 2026)
- 2.IRS - 2026 Tax Inflation Adjustments(Accessed May 2026)
- 3.IRS - Instructions for Form 706(Accessed May 2026)
- 4.IRS - Gift Tax(Accessed May 2026)
- 5.Pennsylvania Department of Revenue - Inheritance Tax(Accessed May 2026)