NEBRASKA INHERITANCE AND ESTATE TAXES Inheritance Tax Tax imposed. An inheritance tax is imposed, for the use of the State, upon transfers of property in the cases, at the rates, and subject to the exemptions, hereinafter shown. (77-2201) Transfers taxable. This tax applies to all property, real, personal, and mixed, or any interest therein or income therefrom, which passes by will or by the intestate laws of this State from any resident of this State dying seized or possessed of the same, or, if decedent was not a resident at the time of his death and the property, or any part thereof, is within this State, which is transferred by deed, grant, sale, or gift made in contemplation of the death of the grantor or bargainor or intended to take effect, in possession or enjoyment, after such death, to any person or body politic or corporate, in trust or otherwise, or by reason thereof when such person or body becomes beneficially entitled in possession or expectation to any property or income thereof. (77-2201) Exemptions. Individual beneficiaries are allowed the following exemptions: Class A, $10,000; class B, $2,000; class C, $500. All bequests, legacies, devises, or gifts for religious, charitable, or educational purposes are exempt. (77-2201) Classification of beneficiaries. The beneficiaries under this act are classified as follows: Class A: Father, mother, husband, wife, child, brother, sister, wife or widow of a son, husband of a daughter, adopted or mutually acknowledged child, or lineal descendant, of decedent. Class B: Uncle, aunt, niece, nephew, or other lineal descendant of same. Class C: All others. (77-2201) Rates of tax.-Beneficiaries of classes A and B pay at the rate of 1 and 4 percent, respectively, on each $100 of the clear market value of all property transferred thereto, and at the same rate for any less amount. Beneficiaries of class C pay at the rate of 4 percent on amounts up to $5,000; over $5,000 to $10,000, 6 percent; over $10,000 to $20,000, 8 percent; over $20,000 to $50,000, 10 percent; and 12 percent on amounts in excess of $50,000. (77–2201) Payment of tax; interest.-Inheritance taxes are due at the death of the decedent, and are payable to the county treasurer of the county having jurisdiction over the estate; if paid within 1 year therefrom, no interest is charged; but if not paid within such time, interest is charged at the rate of 7 percent per annum for such time as the taxes remain unpaid. (77-2203, 77-2206) Tax lien. The lien of the inheritance tax is limited to the property subject to such tax, and it continues until the tax is settled. Suit for this tax is required to be brought within 5 years after the amount is finally ascertained. (77-2220) Disposition of proceeds. All inheritance tax money collected by each county, until March 1, 1939, is used and expended for the relief of worthy, incapacitated, and indigent persons, and thereafter such money is to be expended for the improvement of county roads. (77-2218) Sources of information.-Chapter 77, Article 22, Compiled Statutes of Nebraska, 1929; Supplement of 1937. Estate Tax Tax imposed; rate. In addition to the inheritance tax imposed under the above provisions, there is levied an estate or excise tax upon the transfer at death of the estate of every resident decedent, the amount of which is the amount by which 80 percent of the estate tax payable to the United States under the provisions of the Federal estate tax act exceeds the aggregate of all estate, inheritance, legacy, and succession taxes actually paid to the several States of the United States and subdivisions thereof in respect to any property owned by such decedent or subject to such taxes as a part of or in connection with his estate. (77-2301) Payment of tax; interest. This estate tax becomes due and payable to the State treasurer at the expiration of 15 months from date of decedent's death, and executors, administrators, trustees, grantees, donees, beneficiaries and surviving joint owners are liable for the tax until it is paid. If the tax is not paid when due, interest is charged at the rate of 8 percent per annum from the date the same became payable. (77-2302) Tax lien. This tax is a lien on the property subject thereto until paid. (77-2302) Disposition of proceeds. All the proceeds from the imposition of this estate or excise tax are credited to the State assistance fund. (77-2306) Administration of act.-The State tax commission has charge of the administration of this act. (77-2305) Sources of information. Chapter 77, Article 23, Compiled Statutes of Nebraska, 1929; Supplement of 1937. The provisions of law relating to this tax are shown on p. 7. NEW HAMPSHIRE LEGACY, OR SUCCESSION, AND ESTATE TAXES Tax imposed. All property within the jurisdiction of this State, real or personal, and any interest therein, belonging to inhabitants of this State, and all real estate within this State, or any interest therein, belonging to persons who are not such inhabitants, is, upon the transfer thereof, subject to a tax at the rates and under the conditions hereinafter specified. This tax is assessed upon the actual market value of the property at the time of the decedent's death. (72-1, 72-33) Transfers taxable. This tax applies to all such property which passes by will, or by the laws regulating intestate succession, or by deed, grant, bargain, sale or gift, made in contemplation of death, or made or intended to take effect in possession or enjoyment at or after the death of the grantor or donor, to any person, absolutely or in trust, except as otherwise shown herein. Property held in joint names and transferred under the doctrine of survivorship is included hereunder for purposes of this tax, but to the extent specified only; and also are bequests and devises to executors or trustees, if in excess of reasonable compensation. (72-1, 72-3, 72-4, 72-11) Additional estate tax.-In addition to the inheritance tax imposed by the above provisions, an estate tax is levied upon the transfer of all estates which are subject to an estate tax under the provisions of the Federal estate tax act,2 where the decedent at the time of his death was a resident of this State. The amount of said estate tax is equal to the extent, if any, of the excess of the credit of not exceeding 80 percent allowable under the said Federal act, over the aggregate amount of all estate, inheritance, legacy, and succession taxes paid to any State or Territory in respect of any property in the estate of said decedent. The estate tax hereby imposed is not in any case to exceed the extent to which its payment will affect a saving or diminution in the amount of the Federal estate tax payable by or out of the estate of the decedent had this act not been enacted. This tax is payable to the State treasurer at the same time at which the Federal estate tax is payable, and bears the same rate of interest for the same period as such Federal estate tax. (72-2) Exemptions. All transfers of property, under the act imposing a tax on legacies and successions, to beneficiaries of class A, and those made for the care of cemetery lots, or made to a city or town in this State for public purposes, are exempt from this tax. (72-1) Classification of beneficiaries. The beneficiaries under this act may be placed in two classes-A and B. Class A beneficiaries consist of the husband, wife, lineal descendant, or adopted child, of decedent. All other beneficiaries, or the only ones taxed, fall in class B. (72-1) Rates of tax.-Beneficiaries of class B, or all beneficiaries other than those mentioned above as belonging to class A, pay a tax at the 2 The provisions of law relating to this tax are shown on p. 7. rate of 81⁄2 percent of the value of all property transferred thereto. The relatives enumerated above as belonging to class A are not taxed under this act. (72-1) Payment of tax; discount; interest. This tax is payable to the State treasurer at the expiration of 15 months after date of decedent's death, although payment may be suspended by the probate court. If the tax is paid within 6 months after such death, a discount of 3 percent is allowed; if not paid when due, interest is charged at the rate of 10 percent per annum from the time the tax became payable. Administrators, executors, trustees, and grantees under a conveyance made during the grantor's life and taxable hereunder, are liable for this tax, with interest, until payment thereof. (72-47 to 72-51) Tax lien. This tax and the interest thereon remain a lien on the property subject to the tax until the same have been paid. (72-52) Securing payment of taxes due other States.-Provisions exist in this law requiring executors and administrators to file proof that all legacy and succession taxes, interest, and penalties due the State of domicile of a nonresident decedent, or any political subdivision thereof, have been paid or secured, unless letters have been issued in the State of domicile. These provisions are applicable only in the event the laws of said State of domicile contain a provision whereby the payment of similar taxes, interest, and penalties due this State is reasonably assured. (72-79, 72-84) Disposition of proceeds. The proceeds of this tax are for the use of the State. (72-1) Administration of act.-The State treasurer supervises the administration of these provisions. (72-32) Sources of information. Chapter 72, Public Laws of New Hampshire, 1926; Chapter 77, Session Laws of 1933; and Chapter 204, Session Laws of 1937. Personal Property of Nonresidents Tax imposed; rate. All personal property within the jurisdiction of this State, and any interest therein, belonging to persons whose domicile is without this State, is, upon the death of the owner, subject to a tax of 2 percent of its value, upon its transfer, payment or delivery to the executor, administrator or trustee of the estate of said deceased. Personal property within the jurisdiction of this State belonging to nonresidents and which passes by deed, grant, bargain, sale, or gift, made in contemplation of death, or made or intended to take effect in possession or enjoyment at or after the death of the grantor or donor is also subject to a tax of 2 percent of its value. (73-1, 73-2) Exception. These provisions do not apply to the stock or obligations of a corporation organized under the laws of this State, and owned by a nonresident, if, at the time of the owner's death, all the business conducted by the corporation under its charter (except stockholders' and directors' meetings and duties of the clerk with reference thereto) is actually carried on outside of this State; nor to deposits of a nonresident decedent at the time of his death in any bank or trust company within the jurisdiction of this State. (73-4) Payment of tax; interest. The taxes upon transfers made before death are due upon the death of the grantor or donor, and if not paid within 15 months, interest is charged at the rate of 10 percent per annum, after the expiration of said period, until paid. All other taxes are due and payable at the time of the transfer of the property, and if not then paid, interest as aforesaid is charged from the time of the transfer. If the transfer is not made within 15 months after the owner's death, interest as aforesaid is charged after the expiration of said period. (73-17, 73-18, 73-19) Tax lien.-Taxes and interest on transfers made before death are a charge against the persons receiving such transfer, and the property transferred and any other property of the grantor or donor within the jurisdiction of this State, is subject to a lien to secure payment. All other taxes imposed hereunder, and interest, are a lien on the property transferred until payment. (73-14, 73–15) Disposition of proceeds. The proceeds of this tax are for the use of the State. (73-1) Administration of act.-The State treasurer supervises the provisions of this act. (73-24) Source of information.-Chapter 73, Public Laws of New Hampshire, 1926. |