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Bill > S1867


NJ S1867

NJ S1867
Eliminates transfer inheritance taxes on brothers and sisters of a decedent.


summary

Introduced
01/13/2026
In Committee
01/13/2026
Crossed Over
Passed
Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill amends the New Jersey transfer inheritance tax to eliminate the tax on brothers and sisters of a decedent for transfers made on or after January 1, 2022. Presently, transfers to brothers and sisters of a decedent are taxed according to the rate imposed on "Class C" beneficiaries, or at a rate of 11 to 16 percent depending on the amount transferred, with the first $25,000 exempt from taxation. This bill would effectively treat transfers to a brother or sister of a decedent on par with transfers to other immediate family members, including the spouse, domestic partner, civil union partner, father, mother, grandparent, or child of a decedent.

AI Summary

This bill amends New Jersey's transfer inheritance tax law to eliminate the tax on assets inherited by a decedent's brothers and sisters for transfers occurring on or after January 1, 2022. Currently, such transfers are subject to "Class C" tax rates, which range from 11% to 16% depending on the amount inherited, with the first $25,000 being exempt. By removing this tax, the bill treats inheritances from siblings the same way as those from immediate family members like spouses, domestic partners, parents, grandparents, and children, who are generally exempt or taxed at lower rates.

Committee Categories

Budget and Finance

Sponsors (2)

Last Action

Introduced in the Senate, Referred to Senate Budget and Appropriations Committee (on 01/13/2026)

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