Who is exempt from New Jersey inheritance tax?

Class A beneficiaries — a spouse, civil union or domestic partner, child, stepchild, grandchild, parent, and grandparent — are fully exempt and pay no New Jersey inheritance tax. Charities and similar Class E organizations are also exempt.

How are siblings taxed in New Jersey?

Siblings, plus a son-in-law or daughter-in-law, are Class C beneficiaries. The first $25,000 each receives is exempt; amounts above that are taxed at 11% up to $1.075 million, then 13%, 14%, and 16% on higher brackets.

What is the Class D rate for everyone else?

Class D covers anyone not in Class A, C, or E — for example a niece, nephew, friend, or partner who is not a civil-union partner. Class D is taxed at 15% on the first $700,000 and 16% on amounts above $700,000, with a $500 threshold below which no tax is due.

Does New Jersey have an estate tax too?

New Jersey repealed its separate estate tax for deaths on or after January 1, 2018, so only the inheritance tax remains. The inheritance tax is charged on the beneficiary based on their relationship, not on the size of the overall estate.

Is this calculator a substitute for a tax return?

No. It is an estimate of the New Jersey inheritance tax for a single beneficiary. Real returns can involve life-insurance exclusions, joint property, prior gifts, and other adjustments. Consult a New Jersey estate attorney or the Division of Taxation for filing.

New Jersey Inheritance Tax Calculator

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New Jersey is one of the few states that still taxes inheritances based on who receives them rather than the size of the estate. This calculator applies the correct beneficiary class, exemption, and graduated brackets to estimate what a single heir owes.

How it works

New Jersey sorts beneficiaries into classes, each with its own exemption and rate schedule:

Class A — spouse, partner, child, grandchild, parent, grandparent: fully exempt, 0%.
Class C — sibling, son-in-law, daughter-in-law: first $25,000 exempt, then 11% to $1,075,000, 13% to $1,400,000, 14% to $1,700,000, 16% above.
Class D — everyone else (niece, nephew, friend): 15% on the first $700,000, 16% above; nothing is taxed if the share is under $500.
Class E — qualified charities and government: exempt, 0%.

The tax is calculated on the taxable amount after the class exemption, walking up the brackets so each slice of value is taxed at its own rate.

Example and tips

A sibling (Class C) who inherits $100,000 subtracts the $25,000 exemption, leaving $75,000 taxed at 11%, for $8,250. A friend (Class D) who inherits the same $100,000 has no large exemption and pays 15%, or $15,000 — nearly double, which shows how much relationship drives the bill. Because Class A is fully exempt, most spouses and children owe nothing. Note that New Jersey’s separate estate tax was repealed for deaths on or after January 1, 2018, so only this inheritance tax applies.