Understanding Inheritance Tax in Oklahoma

When a loved one passes away in Oklahoma,lower rate (usually 4.5% tax is imposed on any
unfortunately it's often not simply a case of organizinginheritance) than a friend (10% or even 20%). If the
a funeral and then getting on in peace with the grievingperson who has received the property is a spouse or
process. There are often many complex financialcharity, it's possible that inheritance tax may not be
issues to deal with such as inheritance tax, financialapplied at all. Also, inheritance tax on property
planning, probate and estate conservation. This istransfers between siblings is lower (12%) than the tax
especially true when your loved one failed to do anyapplied to nieces and nephews (15%). If the deceased
financial planning. Here we're going to look atperson is under 21 years of age, there is no tax due
Inheritance Tax in Oklahoma State and who you canon assets that pass to the parents.
go to, to get assistance with it.Seek Out Estate Tax Help
What is Inheritance Tax?When someone dies in Oklahoma their estate can only
An estate tax or death duty is a tax on the estate, orbe released after the completion of Form 454. Form
total value of the money and property of a person454 is a 35 page document that must be filed within 9
who has passed away. In some jurisdictions like Tulsamonths of the decedant's death. Within it's 35 pages
or Oklahoma, such taxes were previously known asare included the following tax schedules:
inheritance taxes. The inheritance tax in the US is- A-1: Real Estate
implemented by federal laws and collected by state- A-2: Oil, Gas, and Mineral
revenue bodies. Unlike other states, the Oklahoma- B: Stocks and Bonds
estate tax does not follow federal estate tax laws.- C-1: Intangible Personal Property
Oklahoma State Inheritance Tax Laws- C-2: Tangible Personal Property and Miscellaneous
An estate or inheritance tax depends on the amountProperty
of money or property inherited by the beneficiary or- D: Life Insurance
heir when someone dies and their relationship to the- E: Transfer During Lifetime
deceased person. Some countries define an estate- F: Property Not Taxable in Oklahoma
tax as the assessment of the total gross value of the- G: Debts, Mortgages, and Taxes Due and Unpaid at
estate. According to Oklahoma laws, estate taxDeath
returns in Tulsa and elsewhere in Oklahoma must be- H-1: Administration and Funeral Expenses
filed within nine months of the property owner's death.- H-2: Bequests: Charitable, Religious, and Educational
The Oklahoma estate tax return cannot be calculated- I-1: Property Passing to Surviving Spouse
from the Federal schedules because the process is- I-2: Part 2 of Schedule I-1
independent of federal laws. Therefore, it's possible to- J: Distribution
pay estate tax on a state level and no federalOklahoma provides tax exemptions for lineal heirs.
inheritance tax.From 1999 to 2010 the exemption applied to estates
Oklahoma Estate Tax Rates and Exemptionsless $175,000 (1999) to $3,000,000 (2010). Clearly
Oklahoma estate/inheritance tax exemptions andOklahoma's estate tax is a complicated tax best
rates depend on the beneficiary or heir. For example,handled by a professional.
the deceased's family member may be taxed at a