Pennsylvania Inheritance Tax Calculator 2026 β Class-Based Rates
Calculate Pennsylvania inheritance tax by beneficiary class: 0% spouse, 4.5% lineal descendants, 12% siblings, 15% other heirs. Includes 5% prompt-pay discount and side-by-side class comparison.
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Fair market value at date of death. No exemption β PA taxes from $1. $0
PA Inheritance Tax Owed
$0
Prompt-Pay Discount (5%)
$0
Net Inheritance After Tax
0%
Effective Rate
Pennsylvania Inheritance Tax Calculation
How Pennsylvania Inheritance Tax Works
Pennsylvania is one of only six states that impose an inheritance tax (also: Iowa, Kentucky, Maryland, Nebraska, New Jersey). Unlike an estate tax (paid by the estate), PA inheritance tax is paid by each beneficiary based on what they receive and their relationship to the deceased. There is no minimum inheritance amount β the tax applies from the first dollar.
The Formula
Tax Before Discount = Inheritance Value Γ Applicable Rate
Prompt-Pay Discount = Tax Γ 5% (if paid within 3 months of death)
Final Tax = Tax Before Discount β Prompt-Pay Discount
Rates: Spouse/Charity = 0% | Lineal = 4.5% | Sibling = 12% | Other = 15%
Prompt-Pay Discount = Tax Γ 5% (if paid within 3 months of death)
Final Tax = Tax Before Discount β Prompt-Pay Discount
Rates: Spouse/Charity = 0% | Lineal = 4.5% | Sibling = 12% | Other = 15%
Example
$500,000 estate left to a child (lineal descendant), paid within 3 months:
Inheritance tax rate: 4.5%
Tax before discount: $500,000 Γ 4.5% = $22,500
Prompt-pay discount (5%): $22,500 Γ 5% = $1,125
Final PA inheritance tax: $22,500 β $1,125 = $21,375
Net inheritance: $500,000 β $21,375 = $478,625
Inheritance tax rate: 4.5%
Tax before discount: $500,000 Γ 4.5% = $22,500
Prompt-pay discount (5%): $22,500 Γ 5% = $1,125
Final PA inheritance tax: $22,500 β $1,125 = $21,375
Net inheritance: $500,000 β $21,375 = $478,625
Extended
All-Class Comparison & Estate Planning Strategies
Side-by-side PA inheritance tax for all beneficiary classes plus gifting strategies
Compare Pennsylvania inheritance tax across all beneficiary classes for the same estate value, with and without the prompt-pay discount.
PA Inheritance Tax β All Beneficiary Classes (Same Estate Value)
| Beneficiary Class | Rate | Tax Owed | With Prompt-Pay | Net Inheritance |
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Frequently Asked Questions
What is the Pennsylvania inheritance tax rate?
Pennsylvania inheritance tax rates depend on the beneficiary's relationship to the deceased: 0% for surviving spouse or parent inheriting from a child under age 22; 4.5% for lineal descendants (children, grandchildren, great-grandchildren, parents, grandparents); 12% for siblings (brother, sister, including half-siblings); 15% for all other heirs including cousins, nieces, nephews (if not lineal), friends, and domestic partners. Qualifying charities and government entities are exempt (0%).
Is there an exemption amount for Pennsylvania inheritance tax?
No. Unlike many other states with inheritance tax, Pennsylvania taxes the very first dollar of inheritance above $0. There is no exemption amount, no standard deduction, and no threshold. Even a small bequest to a sibling or cousin is subject to inheritance tax. This makes PA inheritance tax particularly important to plan for β even modest estates can generate significant tax for higher-rate beneficiaries.
What is the 5% prompt-payment discount?
Pennsylvania offers a 5% discount on the inheritance tax owed if the tax is paid within 3 months of the date of death. For example, $10,000 in inheritance tax drops to $9,500 with prompt payment. The 9-month deadline for filing the inheritance tax return still applies, but the 5% discount incentivizes early payment. Estates can pay estimated taxes early to secure the discount even before the return is filed.
Are retirement accounts subject to Pennsylvania inheritance tax?
Yes. IRAs, 401(k)s, and other retirement accounts are generally subject to PA inheritance tax when paid to most beneficiaries. The value included is the balance at death. Surviving spouses receive these assets tax-free. Note that retirement accounts also generate IRD income for federal purposes β so beneficiaries face both Pennsylvania inheritance tax and federal income tax on inherited retirement account distributions.
Does Pennsylvania have an estate tax in addition to inheritance tax?
No. Pennsylvania repealed its state estate tax in 1994. The only wealth transfer tax Pennsylvania imposes is the inheritance tax on beneficiaries. However, large Pennsylvania estates may still owe federal estate tax (applies above the $13,610,000 federal exemption in 2026). The PA inheritance tax applies regardless of estate size β even a $1,000 bequest to a sibling incurs $120 in PA inheritance tax.