Skip to content
Independent money guidance
Clear Money Guide
Start here
Menu

Does New Jersey Have an Estate Tax? No, but an Inheritance Tax

Updated October 5, 2026. Quick answer: No. New Jersey has no estate tax for a person who dies in 2026. The Division of Taxation says: “On or after January 1, 2018, no Estate Tax will be imposed”. New Jersey does still impose an inheritance tax, a separate tax on beneficiaries. The federal exclusion is $15,000,000 for 2026.

Putting a loan in writing? The interest limit, the signing rules and the time limit to sue, from the state’s own statutes: New Jersey promissory note.

New Jersey estate tax at a glance

ItemWhat the documents say
State estate taxNone
WhyThe estate tax was phased out in two parts and is not imposed for deaths on or after January 1, 2018
State inheritance taxYes: New Jersey imposes an Inheritance Tax; see the New Jersey inheritance tax page
Federal estate tax basic exclusion amount, 2026$15,000,000
SourceNJ Division of Taxation; IRS Revenue Procedure 2025-32

Why New Jersey has no estate tax

The Division of Taxation’s page says the New Jersey Estate Tax originated in 1934, was based on the size of the entire estate, and was phased out in two parts. For a resident decedent who died on or after January 1, 2018, none is imposed.

Does New Jersey have an inheritance tax?

The same Division page says “New Jersey imposes an Inheritance Tax on the transfer of assets” from a decedent to a beneficiary, and that the amount depends on who the beneficiaries are and how they are related to the decedent. Its filing page says the executor, administrator or heir-at-law “must file an Inheritance Tax return (if required) within eight (8) months” of the date of death.

CMG’s New Jersey inheritance tax page covers the beneficiary side.

What applies to a New Jersey estate instead

Federal estate tax is separate. Revenue Procedure 2025-32 says the One Big Beautiful Bill Act, section 70106, increased the “basic exclusion amount to $15,000,000 for calendar year 2026”.

An estate of $3,000,000 in New Jersey owes $0 of state estate tax, and $3,000,000 is below the federal $15,000,000.

Probate: New Jersey probate cost. Retirement accounts: how New Jersey taxes 401(k) and IRA withdrawals.

Common mistakes

  • Assuming that no New Jersey estate tax means no New Jersey tax on what heirs receive; the Inheritance Tax still applies to some beneficiaries.
  • Assuming the state answer settles the federal one, or the answer for property held in another state.

Related: estate tax by state, inheritance tax by state, and probate cost by state.

Find the right next step for your situation

About how much do you have invested? Pick the range that fits; your next step appears immediately below.

About how much do you have invested?

Sources

Sources: the primary documents linked above, read on October 5, 2026. General information, not tax advice. Your own facts decide the outcome, and an estate attorney, a tax preparer or the state agency itself is the right place to confirm anything consequential.

See the adviser match on this page