Does the District of Columbia have an estate tax?

Yes. The District of Columbia imposes its own estate tax separate from the federal estate tax. Estates valued above the District of Columbia exemption threshold owe tax on the portion above that threshold, calculated using DC's graduated rate brackets.

What is the District of Columbia estate tax exemption?

The District of Columbia exemption is in the low millions and is indexed periodically. Estates below the exemption owe no District of Columbia estate tax; only the value above the exemption is potentially taxable. The default here is an estimate, so verify the current figure with the DC Office of Tax and Revenue.

How are the District of Columbia estate tax rates structured?

The District of Columbia uses a graduated schedule that applies progressively higher rates to larger taxable estates, generally ranging from roughly 11 percent up to about 16 percent at the top bracket. The tax is computed on the amount exceeding the exemption.

Is the District of Columbia estate tax the same as inheritance tax?

No. An estate tax is paid by the estate before distribution, based on the total taxable estate. An inheritance tax is paid by individual heirs based on what they receive. The District of Columbia levies an estate tax, not an inheritance tax.

Does this replace the federal estate tax?

No. The District of Columbia estate tax is in addition to any federal estate tax. The federal exemption is much higher, so an estate can owe District of Columbia tax while owing no federal tax. This tool estimates only the District of Columbia portion.

District of Columbia Estate Tax Calculator

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The District of Columbia levies its own estate tax, separate from the federal estate tax. Estates above the District’s exemption threshold owe tax on the excess, calculated with graduated brackets. Because the DC exemption is far lower than the federal one, an estate can owe District tax while owing nothing federally.

How it works

Only the taxable estate above the exemption is taxed, and the rate climbs through graduated brackets:

net estate    = gross estate − deductions
taxable above = max(0, net estate − exemption)
estate tax    = graduated brackets applied to (taxable above)

Deductions include debts, the marital deduction, and charitable bequests. The District of Columbia exemption sits in the low millions and the top marginal rate is around 16 percent.

Example and notes

Suppose a net estate of 6,000,000 dollars with a 4,710,000 dollar exemption: the amount above the exemption is 6,000,000 − 4,710,000 = 1,290,000 dollars, and that excess is taxed through the District of Columbia brackets. This is an estimate only — the exemption is indexed and the brackets change, so a qualified estate attorney and the DC Office of Tax and Revenue should confirm the figures. This calculator estimates only the District of Columbia portion, not any federal estate tax.