New Jersey Estate Tax Planning
The New Jersey Estate Tax is assessed based on the value of your assets on the date of your death (or six months later if less) plus, depending on the value of your assets, the value of gifts made during your lifetime.
The New Jersey Inheritance Tax is assessed based on the value of your assets passing to a beneficiary (or gifted to a beneficiary within three years of death) and the relationship of that beneficiary to you. There is no New Jersey Inheritance Tax on amounts passing to a spouse, civil union partner, parents or grandparents, and descendants. Depending on who your beneficiaries are, there are techniques that can be put in place which would reduce the amount of New Jersey Inheritance Tax.