Eliminates transfer inheritance tax for step-grandchildren in New Jersey.

New Jersey S3858 eliminates the transfer inheritance tax for step-grandchildren. Currently, step-grandchildren are taxed at 15% for transfers up to $700,000 and 16% for amounts exceeding that. This bill reclassifies step-grandchildren as Class A beneficiaries, exempting them from the inheritance tax, similar to grandchildren and stepchildren. The change applies to estates of decedents who died before or after June 2, 1937, but does not allow for tax refunds on prior payments. The act takes effect January 1, 2025.

Eliminates transfer inheritance tax for step-grandchildren in New Jersey.

New Jersey S3858 eliminates the transfer inheritance tax for step-grandchildren. Currently, step-grandchildren are taxed at 15% for transfers up to $700,000 and 16% for amounts exceeding that. This bill reclassifies step-grandchildren as Class A beneficiaries, exempting them from the inheritance tax, similar to grandchildren and stepchildren. The change applies to estates of decedents who died before or after June 2, 1937, but does not allow for tax refunds on prior payments. The act takes effect January 1, 2025.