Question 1

Does this calculator charge a New Jersey estate tax?

Accepted Answer

No. The calculator sets New Jersey estate tax to $0 for all three supported death years, 2024 through 2026. Its New Jersey tax calculation instead focuses on inheritance tax for entered Class C and Class D beneficiary amounts.

Question 2

How does the calculator handle New Jersey inheritance tax?

Accepted Answer

It treats Class A and Class E transfers as exempt. For the aggregate Class C amount, it subtracts $25,000 before applying rates from 11% through 16%. For Class D, it applies 15% through $700,000 and 16% above that amount. The calculator labels these inheritance schedules as figures to verify.

Question 3

What federal estate tax exclusions does the calculator use?

Accepted Answer

The code uses $13,610,000 for a 2024 death, $13,990,000 for 2025, and $15,000,000 for 2026. Entered DSUE from a predeceased spouse is added to the selected basic exclusion when the calculator determines the applicable federal exclusion.

Question 4

How does a spousal bequest affect the calculation?

Accepted Answer

A spousal bequest can reduce the modeled federal taxable estate if the decedent is marked married and the spouse is a U.S. citizen or a QDOT is selected. The allowed deduction is capped at the net estate. Without those conditions, the calculator does not apply the entered spousal bequest as a marital deduction.

Question 5

How does the gifting solver work?

Accepted Answer

The solver reduces the modeled taxable estate by annual-exclusion gifts and searches for the first whole number of years that makes total transfer tax zero. It stops at the maximum years you enter. If the tax cannot reach zero within that period, the result reports that more years would be needed.

New Jersey Estate Tax Calculator