NJ Estate Tax Amounts

NJ Estate Tax for Estates over $675,000
Recommendation for Tax Planning now if husband and wife’s total assets including life insurance exceeds $675,000
   More info at http://www.njlaws.com/NJ-Estate-Tax.html
 A New Jersey estate tax return must be filed if the decedent's gross estate plus adjusted taxable gifts as determined in accordance with the provisions of the Internal Revenue Code exceeds $675,000 and the assets do not go to the spouse. It must be filed within nine months of the decedent's death.

 Even if there is no NJ Inheritance Tax there can be a NJ Estate Tax if the estate exceeds $675,000 and the beneficiaries are children or grand children.

Who Must File
  A New Jersey estate tax return must be filed if the decedent’s Gross Estate exceeds $675,000. There is a substantial tax that must be paid after the 2nd spouse dies on amounts over $675,000.  You can hire an attorney to set up Trusts to try to reduce taxes due. We charge a minimum fee of $600 for each trust within a Will. A separate stand alone Trust has a minumum fee for $2,500.
Various NJ Estate Tax Consequences
Taxable Amount of $1,000,000
Tax=$33,200

Taxable Amount of $2,000,000
Tax =$99,200
Taxable Amount of $3,000,000 Tax=$182,000
 Even if your net worth is well below the Federal threshold where the federal estate tax becomes an issue, the New Jersey Estate Tax may still be a problem. The New Jersey Estate Tax affects any person or married couple with net worth over $675,000. There is no exemption for assets you leave to your children; those assets are fully taxed. There is also no exemption for the value of your home and life insurance, so it is easy to hit the $675,000 threshold very quickly.
Estate of  $800,000
Your Federal Estate Tax:  0.00
Your State Taxable Estate Value:  $740,000.00
Your Estimated State Estate Tax:  $22,799.60

 If Estate Value:  $900,000.00  Your State Taxable Estate Value:  $840,000.00 Your Estimated State Estate Tax:  $27,600.00  

If Estate Value:  $1,000,000.00  Your State Taxable Estate Value:  $940,000.00 Your Estimated State Estate Tax:  $33,200.00

 If  Estate Value:  $1,100,000.00  Your State Taxable Estate Value:  $1,040,000.00 Your Estimated State Estate Tax:  $38,800.00

 If Estate Value:  $1,200,000.00 Your State Taxable Estate Value:  $1,140,000.00 Your Estimated State Estate Tax:  $45,200.00

If Estate Value:  $1,300,000.00  Your State Taxable Estate Value:  $1,240,000.00 Your Estimated State Estate Tax:  $51,600.00