Estate Tax for Ohio Residents

Ohio Estate Tax

The Ohio Estate Tax was repealed via House Bill 153 for decedents who die on or after January 1, 2013.  For decedents who pass away prior to that date the Ohio Estate tax applies to gross estates over $338,333. 

The gross estate includes Ohio real estate, bank accounts, stocks, bonds, tangible personal property, trust assets, business interests, and life insurance proceeds paid to the estate. Expenses of the estate like funeral expenses, attorney and administrator/executor expenses, real estate taxes, etc. reduce the taxable estate. 

Although an executor or administrator has 15 months from the date of death in which to file an Ohio Estate tax return, interests accrues on any unpaid tax 9 months after date of death. 

If the gross estate is over $338,333 but not over $500,000 then the Ohio Estate tax rate is 6% of the value greater than $338,333.  If the gross estate is over $500,000 then the Ohio Estate tax is $9,700 plus 7% of the value greater than $500,000.

Federal Estate Tax

The Federal Estate Tax applies to estates with gross assets and prior taxable gifts exceeding $5,000,000 or more for decedent’s dying in 2010 or later ($5.12 million in 2012) and the same is taxed at a rate of 35%. 

Unless the federal government acts, the federal estate tax is set to apply to estates exceeding $1,000,000 in 2013 at a rate of 55%.