Jay, this is a question that arises more often than you'd expect. PA Inheritance Tax is only due on assets when the decedent is either a PA resident or the property was PA Property.
If I read your note correctly, ALL property is titled, located, etc. in California. Therefore,there would NOT be PA Inheritance tax as the decedent is a California resident.
The PA resident would only need to handle registration, etc. in Pennsylvania.
IF taxes would have been due, the Estate has the option (unless addressed in the Will) to pay the taxes or pass the liability to the beneficiary, who would be billed directly by the Commonwealth. Not the case here.
Hopefully this helps!
Steve
------------------------------
Stephen Mankowski
MANKOWSKI ASSOCIATES, CPA, LLC
steve@mankowski.cpa------------------------------
Original Message:
Sent: 08-20-2024 10:13 AM
From: Jay M. Menachem
Subject: PA inheritance tax
My client lives in Pittsburgh, PA. His uncle passed away in California (was a CA resident). My client will receive cash approx $200,000 plus a collectible car valued approx $800,000 which will be sold. Is my client subject to PA inheritance tax? If so, is this the estates responsibility to file and pay, or my clients responsibility? (not asking about any gain or loss on the sale of the car).
Thanks for any guidance on this,
Jay
Jay M. Menachem, CPA 300 Garden City Plaza, Suite 448
Garden City, New York 11530
Tel: 516-877-9277 Fax: 516-877-9677
Any accounting, business or tax advice contained in this communication, including attachments and enclosures, is not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax-related penalties.Privileged and Confidential - this communication and any attachments are confidential and privileged. They are intended for the sole use of the addressee. If you receive this transmission in error, you are advised that any disclosure, copying, distribution, or the taking of any action in reliance upon this communication is strictly prohibited. If you have received this communication in error, please contact me at the above email address. Thank you.