Even if you think inheritance tax only applies to the ultra-wealthy, it might still catch your family off guard. Many people don’t realize that six U.S. states currently impose an inheritance tax, meaning heirs—not estates—may owe money based on how closely they’re related. If a loved one lived or owned property in one of these states, your inheritance could shrink unexpectedly. If you live in any of these states, you might want to read up on your local inheritance tax laws.
