topic Virginia Inheritance Tax on Real Estate in Get your taxes done using TurboTax

Virginia Inheritance Tax on Real Estate

emmmiloveyou — Wed, 28 Jun 2023 16:31:47 GMT

In Virginia, are we required to pay taxes on inheritance earned from real estate sales? Can you provide information on inheritance taxes in the state of Virginia?

Re: Virginia Inheritance Tax on Real Estate

Anonymous_ — Wed, 28 Jun 2023 16:36:05 GMT

@emmmiloveyou wrote:

Can you provide information on inheritance taxes in the state of Virginia?

See https://www.tax.virginia.gov/estate-and-inheritance-taxes

Viriginia no longer levies an estate or inheritance tax.

Re: Virginia Inheritance Tax on Real Estate

rschule1 — Wed, 28 Jun 2023 16:38:10 GMT

Hi There

Inheritance tax is outside the scope of Turbo Tax which is for individual income tax but here is a link as provided by the State of Va.

https://www.tax.virginia.gov/estate-and-inheritance-taxes

Re: Virginia Inheritance Tax on Real Estate

marctu — Wed, 28 Jun 2023 16:38:24 GMT

Today, Virginia no longer has an estate tax* or inheritance tax. Prior to July 1, 2007, Virginia had an estate tax that was equal to the federal credit for state death taxes. With the elimination of the federal credit, the Virginia estate tax was effectively repealed.

However, certain remainder interests are still subject to the inheritance tax. See the “Virginia Estate and Inheritance Taxes” section of Public Document 15-93 for more information.

See: https://www.tax.virginia.gov/estate-and-inheritance-taxes

Virginia does have a Probate Tax (Code of Virginia Sections 58.1-1711 - 1718)

The tax is assessed at the rate of 10 cents per $100 on estates valued at more than $15,000, including the first $15,000 of assets. For example, the tax on an estate valued at $15,500 is $15.50. Localities may also impose a local probate tax equal to 1/3 of the state probate tax.

See:

https://www.tax.virginia.gov/probate-tax#:~:text=The%20probate%20tax%20is%20imposed,of%20a%20power%20of%20appointment.