Ohio recently repealed its state estate tax, as reported through Forbes.
Of course, Maryland citizens continue to face the prospect of paying an estate tax to the state of Maryland on any portion of their estate over $1 million.
Other states are in the news as well, with both Maine and Oregon tweaking their state estate taxes. The Maine budget makes a prospective change in their exemption, doubling it from $1 million to $2 million as of Jan. 1, 2013 and thereby exempting some 400 estates. Oregon, on the other hand, has introduced new graduated rates from 10% to 16% applied to the estate above $1 million. The tax applies to the entire estate but jumps up to a flat 16% on portions in excess of $1 million, thus going in the opposite direction of Maine and Ohio and introducing a new calculus for Oregon estate planning.
For a map showing state estate taxes and rates for 2011, click here.
Reference: Forbes – Ashlea Ebeling (Jun 30/ Jul 1, 2011) “Ohio Repeals its Estate Tax; Maine and Oregon Tweak Theirs”
Frank R. Campbell, Annapolis Estate Planning Attorney