Inheritance tax worksheet
New Jersey Inheritance Tax Calculator
New Jersey does not impose its estate tax for deaths on or after January 1, 2018. Its inheritance tax still applies to certain beneficiaries. The relationship and each person's prepared share determine the calculation.
Updated 7 primary sources citedEditorial policy
Calculate each beneficiary's New Jersey tax
Who this covers and what to enter
For 2026 and 2027 resident estates with outright distributions. Combine all includible transfers to the same person in one row, after prepared deductions and property exclusions.
Your estimate
Needs your figuresCalculated- Estimated inheritance tax
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- Total prepared shares
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- Exempt amounts across these beneficiaries
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- Shares after this tax
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The total covers only the beneficiaries entered. No federal tax, interest, penalties or automatic filing determination is included.
Reviewed October 1, 2026 using the Division of Taxation's rates, IT-R instructions and current filing guidance.
A sibling and a child belong to different tax classes
| Class | Typical members | Treatment |
|---|---|---|
| A | Spouse, qualifying domestic/civil union partner, parent, grandparent, child, adopted child, descendant, stepchild | Exempt |
| C | Brother or sister; qualifying spouse or surviving spouse/civil union partner of a child | $25,000 exempt per recipient, then graduated tax |
| D | Other beneficiaries, including ordinary friends and nieces/nephews | Whole share taxable at $500 or more |
| E | Qualifying exempt organizations and government recipients | Exempt after classification is established |
A stepchild is Class A, but a step-grandchild is not automatically Class A. A nonprofit label alone does not establish Class E eligibility. Check the official beneficiary class sheet and classification definitions before selecting a class.
Calculate Class C separately for each person
The first $25,000 is exempt. The next $1,075,000 is taxed at 11%, the next $300,000 at 13%, the next $300,000 at 14%, and amounts above a total share of $1.7 million at 16%. Official rate schedule.
One sibling receiving $100,000 owes $8,250. Two siblings each receiving $50,000 owe $2,750 each, or $5,500 total. Enter them in separate rows. Conversely, splitting one person's $100,000 inheritance into two rows would wrongly apply the exemption twice.
The IT-R worked example with one sibling receiving $50,000, another receiving $15,000 and a friend receiving $400 produces $2,750 total tax. The calculator reproduces that example. IT-R distribution examples.
Class D's $500 threshold taxes the whole transfer
A Class D recipient receiving $499 owes zero. At $500, the whole transfer is taxed and the estimate is $75. There is no $499 deduction from a larger share. The first $700,000 is taxed at 15%, with amounts above it at 16%. Class D instructions · Rate bands.
A friend receiving $100,000 owes $15,000 in the ordinary recipient-paid case. At $1 million, the calculation is $105,000 on the first $700,000 plus $48,000 on the remaining $300,000, or $153,000.
Use prepared shares after resolving the will and property
This worksheet calculates tax on outright, prepared net distributions. Estate-paid tax on a tax-free legacy, a life interest or a contingent trust can change the taxable amount and requires the relevant return worksheets. It does not determine the deductions, valuation or legal distribution. IT-R instructions and trust guidance.
Nonresident estates use IT-NR
The resident worksheet is not an IT-NR calculation. New Jersey real estate and tangible property can require a nonresident return. Owning only intangible property such as a New Jersey bank account does not by itself create New Jersey inheritance tax for a nonresident. Nonresident return instructions.
Zero tax does not always remove the waiver requirement
When required, inheritance tax returns and payments are due eight months after death. A filing extension does not extend payment time. A property transfer may need a waiver even when tax is zero; the correct form depends on residency, property and recipients. Filing requirements · Waiver guidance.
Compare Maryland's sibling exemption and paid-tax credit or Pennsylvania's beneficiary rates. An exemption in either state does not establish the New Jersey classification.
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