qabarbie
New Member

Get your taxes done using TurboTax

Thank you.  I've read that the tax liability is typically passed to beneficiaries because the tax rate for individuals is lower.  This is the part I need clarity on.  There is an estate tax exemption up to $12.06m.  The estate in question is valued at $2m.  What would the tax rate be at the estate level?  Is it capital gains tax on the annuity proceeds?