debt owned by residents of this State, in whatever form made or issued by any public or private domestic corporation (other than a county or city of this State), or made or issued by any State (other than this State), territory, district, possession, or foreign country, or by any foreign public or private corporation, in the county and/or city in which the owners respectively reside; all interest-bearing mortgages, owned by residents of this State on real estate or tangible personal property situated in whole or in part outside of this State, in the county and/or city in which such owners respectively reside; and all dividend-paying shares of stock or shares in any foreign corporation (other than national banks) owned by residents of this State, in the county and/or city in which the owners respectively reside. (6) Source of information.-Article 81, Annotated Code of Maryland, Supplement of 1935. MASSACHUSETTS INHERITANCE AND ESTATE TAXES Inheritance Tax Tax imposed. An inheritance tax is imposed by this State upon transfers of property at the percentage rates hereinafter shown. (1) Transfers taxable. This tax applies to all property within the jurisdiction of this Commonwealth, corporeal or incorporeal, and any interest therein, belonging to inhabitants of this Commonwealth, and all real estate or any interest therein and all tangible personal property within the Commonwealth belonging to persons who are not inhabitants thereof (except such an interest in such real estate as is represented by a mortgage or by a transferable certificate of participation or share of an association, partnership, or trust), which passes by will, or by laws regulating intestate succession, or by deed, grant, or gift (except in cases of a bona fide purchase for full consideration in money or money's worth), made in contemplation of the death of the grantor or donor, or made or intended to take effect in possession or enjoyment after his death, and any beneficial interest therein arising or accruing by survivorship in any form of joint ownership in which the decedent joint owner contributed during his life any part of the property held in such joint ownership or of the purchase price thereof, to any person, absolutely or in trust (except to or for the use of charitable, educational, or religious societies or institutions, the property of which is exempt from taxation by the laws of this Commonwealth, or for or upon trust for any charitable purposes to be carried out within the Commonwealth, or to or for the use of the Commonwealth or any town therein for public purposes). (1) Exemptions.-Property or interest passing to the beneficiaries of class A, except a grandchild, is not taxed, unless its value exceeds $10,000; nor is any other property or interest passing under this act taxed unless its value exceeds $1,000. (1) Classification of beneficiaries.-Beneficiaries for purposes of taxing legacies and successions are classified as follows: Class A: Husband, wife, father, mother, child, adopted child, adoptive parent, grandchild. Class B: Lineal ancestors and descendants, except those in class A; lineal descendant of adopted child; lineal ancestor of adoptive parent; wife or widow of a son, and husband of a daughter. Class C: Brothers and sisters, including those of the half-blood; nephew, niece, step-child, and step-parent. Class D: All others. (1) Rates of tax. The rates of tax on the value of property or interest passing to the beneficiaries of the several classes are as follows: (1) Payment of taxes; interest.-The taxes imposed upon property or interests passing by deed, grant, or gift to take effect after the death of the grantor or donor, or upon beneficial interests arising or accruing by survivorship in any form of joint ownership, are payable to the commissioner of corporations and taxation at the expiration of 1 year from the date when the right of possession or enjoyment accrues. Taxes imposed upon property or interests passing by deed, grant, or gift made in contemplation of death are payable at the expiration of I year after the death of the grantor or donor. If the taxes are not paid when due, interest at the rate of 6 percent per annum is charged from due date. (7, 11) Tax lien.-Property of which a decedent dies seized or possessed, subject to taxes as aforesaid, and all property acquired in substitution therefor, is charged with a lien for all taxes and interest thereon which are or may become due on such property; but said lien does not attach to any personal property after the same has been sold for value by the executors or trustees, or to real estate after it has been conveyed thereby under license or decree of the probate court, or to real estate which, during the life of the grantor is conveyed by recorded or registered deed and transferred in possession and enjoyment by him to the grantee, in contemplation of death. (9) Taxes due other States. Provision is made whereby the domiciliary State of any nonresident decedent whose estate is administered in this Commonwealth shall receive any inheritance, death, or similar taxes due thereto from the estate of such decedent, but only in the event the laws of such domiciliary State contain a reciprocal provision whereby this Commonwealth is granted reasonable assurance of the collection of the taxes due thereto under similar circumstances. (24E) Disposition of proceeds. The proceeds of this tax are for the use of the Commonwealth. Administration of act. The commissioner of corporations and taxation is charged with enforcing the provisions of this act. (27) Sources of information. Chapter 65, Annotated Laws of Massachusetts, 1933, and 1937 Cumulative Supplement. Estate Tax Tax imposed. An estate tax is imposed upon the transfer of the estate of every person who at the time of his death was a resident of this Commonwealth and whose estate is subject to an estate tax imposed under the Federal estate tax act, the amount of which is the amount by which the Federal credit under such Federal act exceeds 'The provisions of law relating to this tax are shown on p. 7. 2 the aggregate amount of all estate, inheritance, legacy, and succession taxes actually paid to the several States in respect to any property owned by such decedent or subject to such taxes as a part of or in connection with his estate. (1) Same; nonresidents and aliens. An estate tax is imposed upon the transfer of real property or tangible personal property in this Commonwealth of every person who at the time of death was a resident of the United States but not a resident of this Commonwealth, and upon the transfer of all property, both real and personal, within the Commonwealth of every person who at the time of death was not a resident of the United States, the amount of which is a sum equal to such proportion of the amount by which the credit allowable under the applicable Federal revenue act for estate, inheritance, legacy, and succession taxes actually paid to the several States exceeds the amount actually so paid for such taxes, exclusive of estate taxes based upon the difference between such credit and other estate taxes and inheritance, legacy, and succession taxes, as the value of the property in the Commonwealth bears to the value of the entire estate, subject to estate tax under the applicable Federal revenue act. (1) Payment of tax; interest. The estate tax imposed under the provisions of the two paragraphs next preceding is due and payable at the expiration of 18 months from the date of death; if not paid when due, interest at the rate of 6 percent per annum is charged from the time the same became payable, unless the commissioner of corporations and taxation has extended the time of payment. (2) Source of information.-Chapter 65A, Annotated Laws of Massachusetts, 1933. MICHIGAN INHERITANCE AND ESTATE TAXES Tax imposed.-A tax is imposed upon the transfer of any property, real or personal, of the value of $100 or over, or of any interest therein or income therefrom, in trust or otherwise, to persons or corporations, not exempt by law in this State from taxation on real or personal property in the cases hereinafter shown. This tax is computed on the clear market value of the property transferred, less the exemption deducted from such value. (7.561, 7.562) Transfers taxable. The transfers taxable under this act are as follows: When the transfer is by will or intestate laws of this State, from any person dying seized or possessed of the property while a resident of the State; when the transfer is by will or intestate law of property within the State, and the decedent was a nonresident of the State at the time of his death; when the transfer is of property made by a resident or nonresident, when such nonresident's property is within the State, by deed, grant, bargain, sale, or gift made in contemplation of death of the grantor, vendor, or donor, or intended to take effect after such death; or whenever a power of appointment derived from any disposition of property is exercised, or where one fails to exercise such power of appointment in the time provided for. (7.561) 2 Additional estate tax. In the event that the total of inheritance taxes imposed upon inheritances or the transfers of property of decedents resident of this State at the time of death does not equal or exceed, after deductions for exemptions and otherwise, 80 percent of the amount of tax imposed upon the value of the estate of such decedent under the act providing for a Federal estate tax, an additional inheritance tax is imposed upon all such inheritances and transfers as follows: There is added to the taxes herein before imposed an amount equal to the difference between the total of such taxes herein before imposed, plus all other credits allowed by the Federal act for taxes paid the State governments, and 80 percent of the tax imposed by said Federal act. The purpose of the provisions of this paragraph is to obtain the benefit of the credit allowed under said Federal act. (7.563) Exemptions. The following exemptions are allowed: Class A: Husband or wife, $30,000; all other persons of this class, $5,000; if no property is transferred to a minor child, the widow receives an additional exemption of $5,000 for each child to whom no property is transferred. There are no exemptions for beneficiaries of class B. Transfers to corporations which are exempt from taxation on real or personal property are exempt from this tax. (7.561, 7.562) Classification of beneficiaries.-The beneficiaries are classified as follows: Class A: Grandfather, grandmother, father, mother, husband, wife, child, brother, sister, wife or widow of a son, husband of 'The provisions of law relating to this tax are shown on p. 7. |