As you address your estate planning, you may begin to see more and more references being made to estate taxes. Most often, this is in reference to the federal estate tax, which you only pay if the taxable value of your estate exceeds the federal threshold (currently $12.92 million in 2023 and $13.61 million in 2024). However, individual states can also levy their own estate tax.?

Is there an estate tax in Florida?

Estate tax is no longer due to the State of Florida on estates of persons that died on or after January 1, 2005. However, a Florida resident owning real estate in another state at the time of their death might still have an estate tax obligation in that other state even if there is none in Florida.

What other tax considerations should I be aware of?

Your estate may still have certain state tax obligations. Therefore, in the course of your planning, you should always consult with your accountant in addition to your estate planning professional. Even though Florida no longer collects an estate tax, an automatic tax lien may be imposed on property upon death. As a result, an affidavit of no estate tax due to the State of Florida must also be filed with the probate court (if there is a probate proceeding) as well as any county in which a decedent owned property.

As always, you should consult with an estate planning professional who will work in conjunction with your accountant to ensure that your estate tax obligations will be addressed in the most beneficial way possible.