Bill > S1713

This bill proposes changes to the Massachusetts estate tax code. The key provisions include: 1. Extending the applicability of the existing estate tax to December 31, 2018. 2. Introducing a new Section 2B, which defines key terms such as "Adjusted Taxable Estate", "Code", "CPI", and "Exemption". The exemption is set at $1,000,000 for calendar years starting on or after January 1, 2019, and this amount will be adjusted annually based on the Consumer Price Index (CPI). 3. Imposing a progressive Massachusetts estate tax on the transfer of estates of residents of the Commonwealth, with tax rates ranging from 1.6% to 16% depending on the adjusted taxable estate. 4. Allowing a credit against the Massachusetts estate tax for any estate, inheritance, legacy, and succession taxes paid to other states. 5. Imposing a tax on the transfer of real property situated in Massachusetts and tangible personal property with an actual situs in the Commonwealth for non-resident decedents, calculated based on the proportion of the Massachusetts property to the total federal gross estate. 6. Clarifying that the tax is computed on the value of any property subject to a power of appointment, even if a tax has been paid on it under a different section of the law.

Budget and Finance

https://malegislature.gov/Bills/191/S1713