tag:blogger.com,1999:blog-1335076796987605384.post3518727750612088870..comments2024-01-09T07:23:36.400-05:00Comments on Kevin A. Pollock BLAWG: Is there an Inheritance Tax on Life Insurance Proceeds?Kevin A. Pollock, J.D., LL.M.http://www.blogger.com/profile/08329649326376128858noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-1335076796987605384.post-88326473825653756892016-08-25T09:06:10.665-04:002016-08-25T09:06:10.665-04:00This comment has been removed by a blog administrator.Anonymoushttps://www.blogger.com/profile/12076350262769425106noreply@blogger.comtag:blogger.com,1999:blog-1335076796987605384.post-22503574717007340672015-09-01T11:10:26.486-04:002015-09-01T11:10:26.486-04:00Dear Benzgirl33,
The technical answer to your que...Dear Benzgirl33,<br /><br />The technical answer to your question is that:<br />1) Pennsylvania does not have an inheritance tax on life insurance; and<br />2) The federal government does include life insurance in the taxable estate of your father's wife. However, if your step-mother's estate is under $5,430,000, then no tax is due. Also, if your step-mother's estate claims the marital deduction for assets passing to your father, then no tax is due either.<br /><br />So, if your step-mother had significant wealth, I strongly recommend that the executor speak with a tax attorney to discuss options.Kevin A. Pollock, J.D., LL.M.https://www.blogger.com/profile/08329649326376128858noreply@blogger.comtag:blogger.com,1999:blog-1335076796987605384.post-27893536397483554722015-09-01T09:30:40.433-04:002015-09-01T09:30:40.433-04:00I'm trying to find out if my dad is responsibl...I'm trying to find out if my dad is responsible to pay state or federal taxes in PA on a life insurance policy that was owned by his wife. His wife recently passed and the payout was to him as a surviving spouse. Each article becomes more confusing to me in order to give him the appropriate answer. His wife was the owner of the policy and it was not substantial, $100,000. Can someone explain whether or not this payout is taxable? From what I gather it is not but I want to be certain. Thank you!! Benzgirl33https://www.blogger.com/profile/15723172286138125704noreply@blogger.com