Wealth Preservation_Flipbook_2023

State Estate and Inheritance Taxes In states with low estate tax exemption levels, such as Massachusetts and Oregon ($1 million exemption with 16% top tax rate), even people who might not consider themselves “wealthy” could be subject to state estate taxes. As with federal taxes, state estate taxes do not apply to assets left to a surviving spouse. Only a few states have a portability provision allowing the unused portion of the exemption to be used by a surviving spouse. Source: Tax Foundation, 2022 Many states and the District of Columbia have their own estate tax or an inheritance tax (Maryland has both), and most have exemption amounts well below the federal exclusion level.