The Nebraska Inheritance Tax is due for all estates (and most, if not all, revocable trusts becoming irrevocable at date of death) within 12 months after date of death (DOD). The Inheritance Tax is beneficiary-based, and the tax is structured toward beneficiary classes.
Spouses have an unlimited marital deduction and are not subject to tax. Children, grandchildren, parents, grandparents are taxed at 1%, less certain exemptions and deductions. Aunts, uncles, nieces, nephews, or lineal descendants of the same are taxed at either 11% to 13%, depending on the date of death, less certain exemptions, and deductions. In all other cases, the Inheritance Tax is 15% to18%, depending on the date of death, less certain exemptions, and deductions. Relatives of the stated capacities may enjoy specific tax rates listed above. Because Nebraska Legislature is seemingly (if not actually) ever-changing, the stated rates, etc., are all subject to current Nebraska statutory law.
We have comprehensive experience in computing the Nebraska Inheritance tax for decades. In addition to our keen valuation determinations (see Asset Inventory and Valuation Services), we are vigilant and determining the myriad of exemptions, deductions, and credits available to estates and trusts, that help reduce, if not eliminate, the Nebraska Inheritance Tax.