New Jersey Inheritance Tax Calculator
Figures verified October 17, 2026 against NJ Division of Taxation: Inheritance and Estate Tax rates · Update log
Short answer
New Jersey taxes what each heir receives based on their class. Class A (spouse or partner, children, stepchildren, grandchildren, parents, grandparents) and Class E (charities) pay nothing. Class C (brothers, sisters, and a child's spouse) pays nothing on the first $25,000, then 11% to 16%. Class D (everyone else, including nieces, nephews and friends) pays 15% on the first $700,000 and 16% above. Life insurance paid to a named beneficiary is exempt. The tax is due 8 months after death.
New Jersey inheritance tax calculator
Add one row for each person who inherits, with what they receive after the estate's debts and expenses. Each person's tax depends on their relationship to the person who died. Amounts like 250k or 1.2m work.
New Jersey inheritance tax classes and rates (2026)
The tax is worked out for each heir separately, on what that person receives, at the rate for their relationship to the person who died. These are the rules for deaths in 2026, checked against the official sources listed at the end of this page.
| Class | Who | Rate |
|---|---|---|
| Class A | Spouse, civil union or domestic partner, children (including adopted), grandchildren and other descendants, stepchildren (not step-grandchildren), parents, grandparents, a mutually acknowledged child | Exempt |
| Class C | Brothers and sisters (including half-brothers and half-sisters), and a son's or daughter's spouse, civil union partner, widow or widower | First $25,000 exempt, then 11% to $1,100,000, 13% to $1,400,000, 14% to $1,700,000, 16% above |
| Class D | Everyone not in Class A, C or E: nieces, nephews, aunts, uncles, cousins, step-grandchildren, friends | 15% on the first $700,000, 16% above. A share under $500 is not taxed; $500 or more is taxed in full |
| Class E | Qualified charities, religious, educational and medical institutions, and the State of New Jersey or its subdivisions | Exempt |
- Life insurance paid to them as a named beneficiary: Life insurance paid to a named beneficiary is exempt; insurance paid to the estate is taxable.
New Jersey rate brackets
Each slice of an heir's share is taxed at its own rate. The tax at the start of each row is the total tax on everything below it.
Class C
| Share over | Up to | Tax at the start of the row | Rate on the excess |
|---|---|---|---|
| $0 | $25,000 | $0 | 0.0% |
| $25,000 | $1,100,000 | $0 | 11.0% |
| $1,100,000 | $1,400,000 | $118,250 | 13.0% |
| $1,400,000 | $1,700,000 | $157,250 | 14.0% |
| $1,700,000 | No limit | $199,250 | 16.0% |
Class D
| Share over | Up to | Tax at the start of the row | Rate on the excess |
|---|---|---|---|
| $0 | $700,000 | $0 | 15.0% |
| $700,000 | No limit | $105,000 | 16.0% |
A share under $500 is not taxed at all; at $500 or more the whole share is taxed from the first dollar.
Tax on a $100,000 inheritance, by relationship
What one heir would owe on $100,000 (no life insurance, no age exemption), computed with the same rules as the calculator.
| Heir | Class | Tax on $100,000 |
|---|---|---|
| Husband or wife | Class A | $0 |
| Son or daughter (including adopted) | Class A | $0 |
| Stepchild | Class A | $0 |
| Grandchild | Class A | $0 |
| Great-grandchild | Class A | $0 |
| Mother or father | Class A | $0 |
| Grandparent | Class A | $0 |
| Brother or sister | Class C | $8,250 |
| Half-brother or half-sister | Class C | $8,250 |
| Niece or nephew | Class D | $15,000 |
| Son-in-law or daughter-in-law | Class C | $8,250 |
| Aunt or uncle | Class D | $15,000 |
| Cousin | Class D | $15,000 |
| Friend, partner or anyone unrelated | Class D | $15,000 |
| Charity | Class E | $0 |
Worked examples
A sibling and a friend
A widower with no children leaves $300,000 to his sister and $100,000 to a longtime friend.
| Heir | Class | Receives | Tax |
|---|---|---|---|
| Sister | Class C | $300,000 | $30,250 |
| Friend | Class D | $100,000 | $15,000 |
| Total New Jersey inheritance tax | $45,250 | ||
Two children and two nephews
A mother leaves $250,000 to each of her two children and $50,000 to each of two nephews.
| Heir | Class | Receives | Tax |
|---|---|---|---|
| Child | Class A | $250,000 | $0 |
| Child | Class A | $250,000 | $0 |
| Nephew | Class D | $50,000 | $7,500 |
| Nephew | Class D | $50,000 | $7,500 |
| Total New Jersey inheritance tax | $15,000 | ||
The $25,000 and $500 thresholds
A small bequest of $25,000 to a son-in-law and $400 to a neighbor, with the rest to the children.
| Heir | Class | Receives | Tax |
|---|---|---|---|
| Son-in-law | Class C | $25,000 | $0 |
| Neighbor | Class D | $400 | $0 |
| Total New Jersey inheritance tax | $0 | ||
What to file and by when
- If any Class C, D or E beneficiary inherits, the executor files Form IT-R (Inheritance Tax Resident Return) with the Division of Taxation and pays within 8 months.
- If everyone is Class A, no tax is due, but you still need waivers to release assets: Form L-8 for bank and brokerage accounts, and Form L-9 for New Jersey real estate (which results in an 0-1 waiver).
- Gifts of $500 or more made within 3 years of death are presumed made in contemplation of death and must be reported.
Due date: The return must be filed and the tax paid within 8 months of the date of death.
Late payment: Interest of 10% a year runs on any tax unpaid after 8 months. Until the tax is settled, assets stay frozen: banks may release only up to 50% of an account before a waiver arrives.
Next step: NJ tax waivers: L-8, L-9, IT-R and 0-1.
Optional: get help filing
Get a flat-fee quote to file the New Jersey inheritance tax return
Tell us a little about the estate and a CPA or Enrolled Agent who prepares New Jersey IT-R and waiver returns will reply with a fixed price. Free, and no obligation.
Frequently asked questions
Do nephews and nieces pay NJ inheritance tax?
Yes. Nieces and nephews are Class D beneficiaries, taxed at 15% on the first $700,000 and 16% above. There is no exemption amount, except that a total share under $500 is not taxed.
Do siblings pay NJ inheritance tax?
Brothers and sisters, including half-brothers and half-sisters, are Class C. Each one's first $25,000 is tax-free; the rest is taxed at 11% up to $1,100,000, then 13%, 14% and 16%.
Is life insurance subject to NJ inheritance tax?
Not when it is paid to a named beneficiary. Life insurance payable to the estate is taxable.
Is an IRA or 401(k) subject to NJ inheritance tax?
They are reported on the return like other assets and taxed at the beneficiary's class rate, so Class A beneficiaries owe nothing on them. Death benefits from certain New Jersey public pension systems (TPAF, PERS, PFRS) and listed federal plans are exempt.
What is a Class D beneficiary in NJ?
Anyone not in Class A, C or E: nieces, nephews, aunts, uncles, cousins, step-grandchildren, friends and unmarried partners who are not registered domestic or civil union partners.
When is NJ inheritance tax due?
The IT-R return must be filed and the tax paid within 8 months of death. After that, interest of 10% a year runs on the unpaid tax.
Who must file a NJ inheritance tax return?
The executor files Form IT-R whenever any Class C, D or E beneficiary inherits. If everyone is Class A, no return is needed, but waivers (L-8 for bank and brokerage accounts, L-9 for real estate) are still needed to release assets.
Does New Jersey inheritance tax apply if I live in another state?
Yes. What matters is where the person who died lived, not where you live. If they lived in New Jersey, New Jersey inheritance tax applies to what you inherit wherever you live. If they lived elsewhere but owned real estate in New Jersey, New Jersey can tax that real estate.
Sources
- 1.NJ Division of Taxation: Inheritance and Estate Tax ratesnj.gov
- 2.NJ Division of Taxation: Inheritance Tax Beneficiary Classesnj.gov
- 3.NJ Division of Taxation: IT-R instructionsnj.gov
- 4.NJ Division of Taxation: Tax Calculation Worksheetsnj.gov
- 5.Tax Foundation: Estate and Inheritance Taxes by State, 2026taxfoundation.org
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.