In October, Governor Chris Christie signed into law a repeal of the state’s Estate Tax as part of the deal including a 23 cents per gallon gas hike.
New Jersey’s Estate Tax repeal will be effective as of January 1, 2018. The Estate Tax exemption will go from its current low of $675,000 to $2 million for deaths as of January 1, 2017. Individuals can now leave $2 million to heirs without a state Estate Tax levy. Monies left to spouses and children is always exempt. Monies left to non-direct family members are subject to the New Jersey Inheritance Tax.
Out of state owners of beach houses also benefit as the new legislation eliminates a provision that imposed Estate Tax on the New Jersey property of non-resident decedents.