Massachusetts Estate Tax Calculator (2026): Estimate What the Estate Owes
Figures verified October 17, 2026 against Massachusetts Department of Revenue · Update log
Short answer
Yes. For deaths in 2026, Massachusetts taxes estates over $2,000,000 at 0.8% to 16%. Since 2023 a $99,600 credit removes the old cliff, so only estates over $2 million pay, and only on the part above $2 million. The executor files M-706 and pays from the estate, due 9 months after the date of death. Federal estate tax applies only above $15 million, so most estates that owe Massachusetts tax owe nothing federally.
Massachusetts estate tax calculator
Enter values at the date of death. Rough numbers are fine; type 450000, 450k or 2.5m. Leave anything that does not apply blank.
Massachusetts applies its rate table (the old federal credit table, Table B) to the whole taxable estate minus $60,000, then subtracts a $99,600 credit. That credit cancels the tax on the first $2 million, so only estates over $2 million pay, and only on the part above it.
How the Massachusetts estate tax is calculated
The starting point is the taxable estate: everything the person owned at death (the gross estate), minus debts and mortgages, funeral and administration costs, and what passes to a surviving spouse or to charity. The house, bank and brokerage accounts, retirement accounts, business interests and life insurance the person owned all count, including accounts that pass straight to a named beneficiary.
Massachusetts applies the old federal credit table (Table B) to the whole taxable estate minus $60,000, then subtracts a credit of $99,600. The credit equals the table tax on a $2,000,000 estate, so nothing is owed up to $2,000,000 and, above it, only the slices over $2,000,000 are taxed, at rates from 7.2% up.
Table B rates, shown in estate dollars (before the $99,600 credit)
| Taxable estate over | Up to | Rate on that slice |
|---|---|---|
| $100,000 | $150,000 | 0.8% |
| $150,000 | $200,000 | 1.6% |
| $200,000 | $300,000 | 2.4% |
| $300,000 | $500,000 | 3.2% |
| $500,000 | $700,000 | 4% |
| $700,000 | $900,000 | 4.8% |
| $900,000 | $1,100,000 | 5.6% |
| $1,100,000 | $1,600,000 | 6.4% |
| $1,600,000 | $2,100,000 | 7.2% |
| $2,100,000 | $2,600,000 | 8% |
| $2,600,000 | $3,100,000 | 8.8% |
| $3,100,000 | $3,600,000 | 9.6% |
| $3,600,000 | $4,100,000 | 10.4% |
| $4,100,000 | $5,100,000 | 11.2% |
| $5,100,000 | $6,100,000 | 12% |
| $6,100,000 | $7,100,000 | 12.8% |
| $7,100,000 | $8,100,000 | 13.6% |
| $8,100,000 | $9,100,000 | 14.4% |
| $9,100,000 | $10,100,000 | 15.2% |
| $10,100,000 | and above | 16% |
Worked example: a $2.65 million Massachusetts estate
A Newton retiree dies with a $1.1 million house, $600,000 of brokerage accounts, a $700,000 IRA and a $250,000 life insurance policy he owned. Debts are $50,000 and costs $100,000.
Step by step
| Everything the person owned (gross estate) | $2,650,000 |
| Debts and mortgages | − $50,000 |
| Funeral and administration costs | − $100,000 |
| Taxable estate | $2,500,000 |
| State exemption (2026 deaths) | $2,000,000 |
| Table B tax on the estate minus $60,000 | $138,800 |
| State credit | − $99,600 |
| Estimated state estate tax | $39,200 |
Bracket by bracket
Massachusetts rates applied to the whole taxable estate minus $60,000 (the Table B rates). Amounts are shown in estate dollars.
| Slice of the estate | Amount | Rate | Tax |
|---|---|---|---|
| $100,000 to $150,000 | $50,000 | 0.8% | $400 |
| $150,000 to $200,000 | $50,000 | 1.6% | $800 |
| $200,000 to $300,000 | $100,000 | 2.4% | $2,400 |
| $300,000 to $500,000 | $200,000 | 3.2% | $6,400 |
| $500,000 to $700,000 | $200,000 | 4% | $8,000 |
| $700,000 to $900,000 | $200,000 | 4.8% | $9,600 |
| $900,000 to $1,100,000 | $200,000 | 5.6% | $11,200 |
| $1,100,000 to $1,600,000 | $500,000 | 6.4% | $32,000 |
| $1,600,000 to $2,100,000 | $500,000 | 7.2% | $36,000 |
| $2,100,000 to $2,500,000 | $400,000 | 8% | $32,000 |
| Total from the brackets | $138,800 | ||
The bracket total differs from the tax because of the credit or limit shown in the steps above.
Result: Massachusetts estate tax of $39,200, or 1.6% of the $2,500,000 taxable estate. No federal estate tax, because the estate is under $15 million. Massachusetts requires Form M-706 when the gross estate plus adjusted taxable gifts is over $2,000,000.
Ways the number can change
- Real estate outside Massachusetts. For a Massachusetts resident, the value of real estate and tangible property located in other states is taken out of the computation (Form M-706, Part 2), so a Florida condo or a New Hampshire cabin lowers the Massachusetts tax.
- Lifetime gifts. Adjusted taxable gifts count toward the $2,000,000 filing threshold, but they are not added to the taxable estate for the Massachusetts tax.
- A Massachusetts QTIP election. Property left in trust for a spouse can qualify for the Massachusetts marital deduction through an irrevocable Massachusetts QTIP election on the return.
- No portability. Massachusetts does not let a surviving spouse use the late spouse's unused Massachusetts exemption.
- Values at the date of death. The return uses appraised fair market values on the date of death. A house or business valued differently from your estimate moves the tax, at the Massachusetts rate on that slice.
What the executor files, and when
- Massachusetts M-706: due 9 months after the date of death. Massachusetts requires Form M-706 when the gross estate plus adjusted taxable gifts is over $2,000,000.
- File Form M-706 with the Massachusetts Department of Revenue. Filers who pay at least 80% of the tax by the due date get an automatic 6-month extension to file. An extension to pay is requested on Form M-4768. Massachusetts Department of Revenue.
- Federal Form 706: only if the estate is over $15 million, or to elect portability for a surviving spouse. Due 9 months after the date of death (an automatic 6-month extension to file is available on Form 4768).
Optional: get help filing
Get a flat-fee quote to file the Massachusetts estate tax return
Tell us a little about the estate and a CPA or Enrolled Agent who prepares Massachusetts M-706 returns will reply with a fixed price. Free, and no obligation.
Frequently asked questions
How much is Massachusetts estate tax on a $2.5 million estate?
About $39,000 on a $2,500,000 taxable estate, and about $82,000 on $3,000,000. That assumes a Massachusetts resident with everything in Massachusetts and no lifetime gifts. The taxable estate is what is left after debts, funeral and administration costs, and what goes to a spouse or charity.
Who files the Massachusetts estate tax return, and when is it due?
The executor (personal representative) files M-706, due 9 months after the date of death. File Form M-706 with the Massachusetts Department of Revenue. Filers who pay at least 80% of the tax by the due date get an automatic 6-month extension to file. An extension to pay is requested on Form M-4768.
Does the estate have to file if it owes no Massachusetts tax?
Massachusetts requires Form M-706 when the gross estate plus adjusted taxable gifts is over $2,000,000.
Is there still a Massachusetts estate tax cliff?
No. Since January 1, 2023 the tax is reduced by a $99,600 credit, which equals the tax on a $2,000,000 estate. An estate just over $2 million owes a small amount, not tax on its whole value.
Do Massachusetts heirs pay inheritance tax?
No. Massachusetts has an estate tax, paid by the estate, and no inheritance tax.
Are life insurance and retirement accounts part of the estate?
Yes. Retirement accounts count at their full balance, and life insurance counts if the person owned the policy or it paid the estate, even when a named beneficiary receives the money. Income tax on withdrawals from an inherited IRA is separate and is paid by the heir.
Will the estate owe federal estate tax as well?
Only if it is over $15,000,000 for 2026 deaths. Massachusetts's exemption is $2,000,000, so many estates owe Massachusetts tax and no federal tax. The Massachusetts tax paid is deductible on the federal return.
How accurate is this calculator?
It uses Massachusetts's official rate table for 2026 deaths. It assumes the person lived in Massachusetts with everything located there, and it uses the values you enter. The real return uses appraised values at the date of death and can include items it does not model, such as property in other states, state-only elections and credits for tax paid to other states.
Sources
This information is provided for educational purposes only and should not be considered legal or tax advice. Consult a qualified tax professional for guidance specific to your situation.