Pennsylvania REV-1500 Schedule G: Lifetime Transfers and Non-Probate Property

Figures verified November 11, 2026 against PA Schedule G and instructions (REV-1510) · Update log

Short answer

Schedule G (form REV-1510) lists what the person gave away or set up during life that Pennsylvania still taxes at death: gifts made within one year of the death, IRAs and annuities with a named beneficiary, payable-on-death and in-trust-for accounts, living trusts, and a house deeded away while the person kept living in it. Each item is valued on the date of death, and the total goes to line 7 of the REV-1500.

Gifts in the last year are taxed only above $3,000 per person per calendar year. Life insurance is not taxed and is not listed.

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When you must file Schedule G

Page 3 of the REV-1500 has a block headed "Mark all ovals that apply". If any oval is marked, Schedule G must be completed and filed with the return. The ovals are:

The person made a transfer and kept the use or income of the property, kept the right to say who uses it, kept a reversionary interest, or received a promise of payments, benefits or care for life.
The person transferred property within one year of death without receiving adequate consideration (a gift).
The person owned an "in trust for" or payable-upon-death bank account or security.
The person owned an individual retirement account, annuity or other non-probate property with a beneficiary designation.

The ovals and the schedule must match: mark the oval for every kind of item you list on Schedule G.

What goes on Schedule G, and how each item is taxed

Item	Rule
Gift made within one year of death	Taxable above $3,000 per recipient per calendar year. A $10,000 gift leaves $7,000 taxable.
Asset made joint within one year of death	Fully taxable. The new joint owner may claim the $3,000 exclusion.
IRA	Fully taxable if the person was 59½ or older, or disabled at any age. Under 59½ and not disabled: not taxable.
Annuity	Fully taxable.
Employer pension or retirement plan	Exempt if the person did not have the right to possess, enjoy, assign or anticipate the payments. Attach a copy of the plan summary when you claim it is exempt.
POD, ITF or TOD account, revocable (living) trust	Taxable. For a trust, attach the trust document and a valuation of its assets.
House deeded away with a life estate, or while the person kept living there rent-free	Fully taxable at the date-of-death value.
Transfer with a retained reversionary interest	Taxable if the interest is worth more than 5% of the property.
Life insurance on the person's life	Not taxed. Do not list it.

A gift made more than one year before the death, with nothing kept back, is not on this list and is not taxed.

How to fill in each column

Column	What to enter
Description of property	What the asset is, the name of the person who received it, their relationship to the person who died, and the date of the transfer. Attach a copy of the deed for real estate.
Last 4 digits of account ID	The last four digits of the account number or a similar identifying number.
Date of death value of asset	The value on the date of death, not on the date of the gift or transfer.
% of decedent's interest	The percent of the asset that is subject to tax. Usually 100%.
Exclusion (if applicable)	$3,000 for a transfer made within one year of death, per recipient, per calendar year.
Taxable value	The value of the person's interest less any exclusion.

Add up the Taxable Value column and enter the total on line 7 on page 2 of the REV-1500.

Worked example

Robert died on February 1, 2026, aged 72. He had a traditional IRA of $60,000 with his daughter Susan as beneficiary. Five months before he died he gave his grandson Mark $10,000. He also had a $15,000 savings account marked "payable on death" to his nephew Paul.

Item	Description	Value at death	% interest	Exclusion	Taxable value
1	Traditional IRA, last 4 digits 9876. Beneficiary: Susan, daughter. Robert was 72 at death.	$60,000	100%		$60,000
2	Cash gift to Mark, grandson, on 09/01/2025	$10,000	100%	$3,000	$7,000
3	POD savings account, last 4 digits 2210. Beneficiary: Paul, nephew.	$15,000	100%		$15,000
	Total (line 7)				$82,000

Susan and Mark are lineal heirs at 4.5%: ($60,000 + $7,000) x 4.5% = $3,015.
Paul, a nephew, is taxed at 15%: $15,000 x 15% = $2,250.
Total before any deductions: $5,265.
Paid within three months, by May 1, 2026, the 5% discount is $263.25, so $5,001.75 settles it.
On page 3 Robert's executor marks oval 2 (gift within one year), oval 3 (POD account) and oval 4 (IRA with a beneficiary).

IRAs, 401(k)s and pensions

Age decides for an IRA. If the person was 59½ or older at death, the IRA is fully taxable. If they were younger than 59½, it is taxable only if they were disabled.

An employer plan is exempt when the person, during life, did not have the right to possess, enjoy, assign or anticipate the payments. The instructions give the example of a pension where the person's only rights were to name a beneficiary and receive a regular monthly payment. If you claim a plan is exempt, attach a copy of the plan summary.

Separate billing for the person who received the asset

Schedule G assets go straight to the named person and never pass through the estate account. The executor can ask the Department to bill that person directly. Complete every field on Schedule G, including the recipient's address. The instructions say to use this only when there is no tax clause in the will requiring the estate to pay the tax.

Common mistakes

Treating an IRA as exempt because it had a named beneficiary. At 59½ or older it is fully taxable.
Listing life insurance. It is not subject to inheritance tax.
Valuing a gift at what it was worth on the day it was given. Schedule G uses the value on the date of death.
Forgetting gifts made in the last year, or forgetting the $3,000 exclusion for each recipient.
Leaving off a house the person deeded to a child but kept living in without paying rent.

Optional: get help filing

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Frequently asked questions

Are gifts made before death taxed in Pennsylvania?

Only gifts made within one year of the death, and only the part above $3,000 per recipient per calendar year. A gift made earlier, with nothing kept back, is not subject to inheritance tax.

Is an IRA reported on Schedule G?

Yes, when it has a named beneficiary. It is fully taxable if the person was 59½ or older, or disabled, at death. An IRA payable to the estate goes on Schedule E instead.

Is a payable-on-death account subject to PA inheritance tax?

Yes. A POD or in-trust-for account is taxed in full on Schedule G at the rate of the person who receives it, even though it does not go through probate.

Is life insurance listed on Schedule G?

No. Life insurance proceeds on the life of the person who died are not subject to Pennsylvania inheritance tax, so they are not listed.

My father deeded me his house years ago but kept living there. Is it taxed?

Yes. A transfer where the person kept the use of the property for life is fully taxable on Schedule G at the date-of-death value. The instructions say continued occupancy without paying rent makes the property taxable.

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.