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 5806 
 L4 
 
 UC-NRLF 
 
 
INHERITANCE TAXES 
 
 OF ALL THE STATES 
 
 LEE, HIGGINSON & CO. 
 
 BOSTON 
 
 NEW YORK CHICAGO 
 
INHERITANCE TAXES 
 
 OF ALL THE STATES 
 
 LEE, HIGGINSON & CO. 
 
 BOSTON 
 NEW YORK CHICAGO 
 
Copyright, 1911, by 
 LEE, HIGGINSON & Co. 
 
 GEO. H. ELLIS CO., PRINTERS, 272 CONGRESS ST., BOSTON 
 
We have had prepared by our counsel, Messrs. Ropes, 
 Gray & Gorham, a summary of the inheritance laws of the 
 various States of the United States. We have endeavored 
 to make this summary as clear and concise as possible, 
 without unnecessary details, and have particularly designed 
 it for the information of non-resident stockholders. 
 
 We give below (1) a list of those States having no in- 
 heritance tax; (2) a list of those States having an inheri- 
 tance tax, but holding it inapplicable to non-resident stock- 
 holders in corporations organized under their laws; and 
 (3) a condensed summary showing the rates of inheritance 
 tax in the remaining States, preceded by an explanatory 
 introduction. 
 
 The laws of the several States are subject to change by 
 further legislation. 
 
 (1) List of States having no inheritance tax. 
 
 ALABAMA INDIANA 
 
 ARIZONA MISSISSIPPI 
 
 DISTRICT OF COLUMBIA NEW MEXICO 
 
 FLORIDA NEVADA 
 
 GEORGIA RHODE ISLAND 
 
 SOUTH CAROLINA 
 
 (2) List of States having an inheritance tax, but hold- 
 ing it inapplicable to non-resident stockholders in 
 corporations organized under their laws. 
 
 DELAWARE 
 
 PENNSYLVANIA 
 
 VIRGINIA 
 
 (3) Explanatory introduction to summary. 
 
 Property Liable to Tax. 
 
 Property belonging to residents: All cash, stocks, bonds, 
 and other like property, no matter where held, and real 
 estate within the State. 
 
 236776 
 
Property belonging to non-residents: All real estate 
 within the State, and all stocks in corporations organized 
 under the laws of the State, no matter where held, and cash, 
 bonds, and other property actually within the State. 
 
 Vermont, and possibly one or two other States, by ruling, 
 and West Virginia by statute, attempt to tax bonds of cor- 
 porations organized under their laws held by non-residents, 
 whether such bonds are on deposit within the State or not. 
 Such a tax, in cases where the bonds are not on deposit 
 within the State, seems unconstitutional. 
 
 Connecticut by statute taxes registered bonds of Con- 
 necticut corporations, whether on deposit within the State 
 or not. With this exception, the possible distinction be- 
 tween registered and coupon bonds is as yet undefined by 
 statute. 
 
 States having an Inheritance Tax Law which applies only to 
 Collateral Inheritances. 
 
 The following States have only a collateral inheritance 
 tax, which in general taxes only inheritances received by 
 nephews and nieces and more distant relatives, persons 
 not related to the decedent, corporations, and, except in 
 New Hampshire, New Jersey, and Ohio, brothers and sisters: 
 
 IOWA MISSOURI OHIO 
 
 KENTUCKY NEW HAMPSHIRE TEXAS 
 
 MARYLAND NEW JERSEY VERMONT 
 
 NORTH DAKOTA 
 
 Graduated Taxes. 
 
 A majority of the States having an inheritance tax law 
 
 increase the rate of tax in proportion as the inheritance 
 
 increases. Some of such States tax at the increased rate 
 
 only the excess over the smaller amount, and such States 
 
 (Q) so far as ascertained are marked (Q). 
 
 Exemptions. 
 
 A. Based on Value of Property. 
 
 (1) In some States the exemption is granted by express 
 
 statute or by ruling of Tax Commissioner or corresponding 
 
 officer to each and every legatee. Such States are marked 
 
 (*) (*). In other States the exemption may be deducted only 
 
 once from the total amount of the estate. Such States are 
 
marked (f). It has not been ascertained into which of these (t) 
 classes States marked (I) fall. (J) 
 
 (2) Some States allow the exemption to be taken in full 
 from the property within their jurisdiction. Such States 
 
 so far as ascertained are marked (X). Other States, how- (X) 
 ever, allow only the proportion of the exemption to be 
 taken out of the property within their jurisdiction which 
 such property bears to the total amount, wherever situated, 
 of the decedent's estate. 
 
 (3) Some States do not tax at all estates falling below 
 a certain specified value, thus allowing an exemption of a 
 different variety. Such exemptions are noted. 
 
 B. Legacies for Public, Charitable, and Educational Purposes. 
 Nearly all States having any exemption law exempt 
 
 legacies for public, charitable, or educational purposes, but 
 this exemption, in most cases, applies only when such lega- 
 cies are to be used within the State levying the tax, and for 
 this reason the exemption is not of much importance to 
 non-residents of such States, and it has not been noted in 
 the summary. 
 
 C. Other Exemptions. 
 
 In addition to the above there are a few miscellaneous 
 minor exemptions in some of the States which for the sake 
 of brevity are not noted. 
 
 Liability for Tax. 
 
 In all States marked (L) the tax constitutes and remains (L$ 
 a lien on all the property for an indefinite period. 
 
 In States marked (C) a corporation or person trans- (C) 
 ferring or delivering securities owned by a non-resident 
 decedent without complying with the provisions of the 
 statute is liable for the tax. 
 
 Deductions. 
 
 Massachusetts and Vermont allow taxes paid in foreign 
 States on the estates of resident decedents to be deducted 
 from the tax to be paid in the State of residence, to an amount 
 not exceeding the tax payable in the State of residence 
 on such property situated in the foreign State. 
 
4 
 
 Non-resident Stockholders in New England Railroad Corporations. 
 
 Non-resident stockholders in New England Railroads 
 which are incorporated under the laws of more than one 
 State are usually assessed on only such part of the value of 
 each share as is proportional to that part of the company's 
 line or to the value of the company's property lying within 
 the State levying the tax. 
 
 Summary. 
 
 Property passing to or for the use of the classes of persons 
 named in the following summary is, subject to the exemp- 
 tions indicated, liable to inheritance tax at the rates named. 
 
 For meaning of symbols that appear in the summary, see 
 explanatory introduction, under the headings named below: 
 
 (Q) Graduated Taxes Page 2 
 
 (*) Exemptions. Subdivision A, Paragraph 1 " 2 
 
 (f) " " " " " "3 
 
 (t) " " " " " "3 
 
 (X) 2 " 3 
 
 (L) Liability for Tax . " 3 
 
 (C) " " " " 3 
 
 LEE, HIGGINSON & CO. 
 
 JAWUABY, 1911. 
 
5 
 
 Rate 
 ARKANSAS : (L, but only for five years on realty.) of Tax. 
 
 Class A. Grandfather, grandmother, father, mother, husband, 
 
 wife, lineal descendant, brother, sister, adopted child .... i % 
 
 Class B. Uncle, aunt, nephew, niece, lineal descendant of 
 
 same . 2% 
 
 Class C. All others: 
 
 Not exceeding $10,000 3% 
 
 Exceeding $10,000 and not exceeding $20,000 4% 
 
 20,000 " " 50,000 5% 
 
 5o,ooo 6% 
 
 EXEMPTIONS: (f) 
 
 Class A $5,000 
 
 Class B 2,000 
 
 Class C. Estates less than $1,000 in value are not taxed. 
 
 CALIFORNIA: (L) (C) (Q) 
 
 Where the amount of the property passing does not 
 exceed $25,000, at the rates specified in the column 
 headed "Rate of Tax," which are known as "Primary 
 Rates." 
 
 Class A. Husband, wife, lineal issue, lineal ancestor, child 
 adopted in conformity with laws of California, child to whom 
 decedent for not less than 10 years prior to transfer stood in 
 mutually acknowledged relation of parent, provided relation- 
 ship began before child's fifteenth birthday and was contin- 
 uous for 10 years thereafter, lineal issue of such adopted or 
 mutually acknowledged child i% 
 
 Class B. Brother, sister, descendant of brother or sister, 
 
 wife or widow of son, husband of daughter *M% 
 
 Class C. Brother or sister of father or mother, descendant of 
 
 brother or sister of father or mother 3 % 
 
 Class D. Brother or sister of grandfather or grandmother, de- 
 scendant of brother or sister of grandfather or grandmother, 4% 
 
 Class E. All others 5% 
 
 When the property passing exceeds in value $25,- 
 000, the "Primary Rates" above given are increased 
 by multiplication, as follows : 
 Exceeding $25,000 and not exceeding $50,000, 1 1 / 2 times 
 50,000 " " " 100,000, 2 
 100,000 " " " 500,000,2^ " 
 500,000 3 " 
 
Rate 
 EXEMPTIONS: (*) of Tax, 
 
 Class A. Widow or minor child $10,000 
 
 All others 4,000 
 
 Class B 2,000 
 
 Class C 1*500 
 
 Class D 1,000 
 
 Class E 500 
 
 COLORADO: (L) (C) 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, child 
 adopted in conformity with laws of Colorado, person stand- 
 ing for not less than 10 years prior to death in acknowledged 
 relation of parent, lineal descendant born in lawful wedlock . 2% 
 
 Class B. Uncle, aunt, nephew, niece, lineal descendant of 
 
 same 3% 
 
 Class C. All others: 
 
 Not exceeding $10,000 3% 
 
 Exceeding 10,000 and not exceeding $20,000 4% 
 
 " 20,000 " " " 50,000 5% 
 
 " 50,000 " " " 500,000 6% 
 
 " 500,000 10% 
 
 EXEMPTIONS: (*) 
 
 Class A. Provided "legacy vests in perpetuity" . $10,000 
 Other classes. Estates less than $500 in value are not taxed. 
 
 CONNECTICUT: (C) 
 
 Class A. Parents, husband, wife, lineal descendants, legally 
 
 adopted child i% 
 
 Class B. All others 5% 
 
 EXEMPTIONS: (t) 
 
 Class A. Such proportion of $10,000 as value of property 
 passing to all persons in Class A bears to value of 
 whole estate. 
 
 Estate of non-resident is exempt for such propor- 
 tion of whole exempted amount provided for estates of 
 residents as estate in Connecticut bears to total value of 
 whole estate wherever situated. 
 
 IDAHO : Identical with California. 
 
Rate 
 
 ILLINOIS : (C) (L, but only for five years as against of Tax. 
 purchasers of realty.) 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, any child 
 adopted in conformity with the laws of Illinois, (under cer- 
 tain restrictions) any person to whom the deceased for not 
 less than 10 years prior to death stood in the acknowledged 
 relation of a parent, lineal descendant born in lawful wedlock: 
 
 Not exceeding $100,000 i% 
 
 Exceeding $100,000 2% 
 
 Class B. Uncle, aunt, nephew, niece, lineal descendant of 
 same: 
 
 Not exceeding $20,000 2% 
 
 Exceeding $20,000 4% 
 
 Class C. All others: 
 
 Not exceeding $10,000 3% 
 
 Exceeding $10,000 and not exceeding $20,000 4% 
 
 20,000 * 50,000 5% 
 
 50,000 " " 100,000 6% 
 
 100,000 10% 
 
 EXEMPTIONS: (*) 
 
 Class A $20,000 
 
 Class B 2,000 
 
 Class C. Estates less than $500 in value are not taxed. 
 
 IOWA: (L) (C) 
 
 Collateral inheritance tax only. 
 
 Class A, Father, mother, husband, wife, lineal descendant, 
 adopted child, lineal descendant of adopted child, step-child, 
 lineal descendant of step-child No tax 
 
 F" Class B. Brothers and sisters who are non-resident aliens, io%~| 
 
 Class C. Non-resident aliens other than brothers and 
 L sisters 20% J 
 
 Class D. All others 5% 
 
 EXEMPTION: (f) $1,000 
 
 (NOTE. The excess tax on non-resident aliens should be void 
 as contrary to treaties with foreign countries. See note under 
 Washington.) 
 
8 
 
 Rate 
 
 KANSAS : (C) (L, but no lien on personal property as of Tax. 
 against bonafide purchasers for value.) (Q) 
 
 Class A. Husband, wife, lineal ancestor, lineal descendant, 
 adopted child, lineal descendant of adopted child, wife or 
 widow of son, husband of daughter: 
 
 Not exceeding $25,000 ................. i% 
 
 Exceeding $25,000 and not exceeding $50,000 ....... 2% 
 
 50,000 " 100,000 ....... 3% 
 
 100,000 " " 500,000 ....... 4% 
 
 500,000 .... ........... 5% 
 
 Class B. Brother, sister, nephew, niece : 
 
 Not exceeding $25,000 ................. 3% 
 
 Exceeding $25,000 and not exceeding $50,000 ....... 5% 
 
 50,000 " " 100,000 ....... 7^% 
 
 100,000 " " 500,000 ....... 10% 
 
 500,000 . . ................. 12^% 
 
 Class C. All others: 
 
 Not exceeding $25,000 ................. 5% 
 
 Exceeding $25,000 and not exceeding $50,000 ....... 7/4% 
 
 50,000 " " 100,000 ....... 10% 
 
 100,000 " 500,000 
 
 500,000 ................... 15 
 
 EXEMPTIONS: (*) (X) 
 
 Husband, wife, father, mother, child, adopted child : Estates 
 
 less than $5,000 in value are not taxed. 
 Brother, sister, nephew, niece: Estates less than $1,000 in 
 
 value are not taxed. 
 
 KENTUCKY: (C) 
 
 Collateral inheritance tax only. 
 
 Father, mother, husband, wife, lawful issue, wife or widow of 
 son, husband of daughter, child adopted in conformity with 
 laws of Kentucky, lineal descendant born in lawful wed- 
 lock No tax 
 
 All others 5% 
 
 EXEMPTION: (*) . $500 
 
Rate 
 LOUISIANA: fTax. 
 
 Class A. Direct descendants or ascendants (including 
 
 adopted children) 2% 
 
 Class B. All others 5% 
 
 EXEMPTION: (*) 
 
 Class A. Estates less than $10,000 in value are not taxed. 
 
 MAINE: 
 
 Class A. Husband, wife, lineal ancestor, lineal descendant, 
 adopted child, lineal descendant of adopted child, wife or 
 widow of son, husband of daughter: 
 
 Not exceeding $50,000 i% 
 
 Exceeding $50,000 and not exceeding $100,000 i l A% 
 
 Exceeding $100,000 2% 
 
 Class B. Brother, sister, uncle, aunt, nephew, niece, cousin: 
 
 Not exceeding $50,000 4% 
 
 Exceeding $50,000 and not exceeding $100,000 4^2% 
 
 Exceeding $100,000 5% 
 
 Class C. All others: 
 
 Not exceeding $50,000 5% 
 
 Exceeding $50,000 and not exceeding $100,000 6% 
 
 Exceeding $100,000 7% 
 
 EXEMPTIONS: (*) 
 Husband, wife, father, mother, child, adopted child: Estates 
 
 less than $10,000 in value are not taxed. 
 All others : Estates less than $500 in value are not taxed. 
 
 MARYLAND: (L, on realty only and for four years.) 
 Collateral inheritance tax only. 
 
 Father, mother, husband, wife, children, lineal descendant . . No tax 
 All others 5% 
 
 EXEMPTION: (t) Estates under $500 are not taxed. 
 
10 
 
 Rate 
 
 MASSACHUSETTS: (C) (L, but no lien against a of Tax. 
 purchaser for value of personal property.) 
 
 Class A. Husband, wife, lineal ancestor, lineal descendant, 
 adopted child, lineal descendant of adopted child, adopted 
 parent, lineal ancestor of adopted parent, wife or widow of 
 son, husband of daughter: 
 Not exceeding $50,000 ................. i % 
 
 Exceeding $50,000 and not exceeding $100,000 ....... i^i% 
 
 Exceeding $100,000 .................. 2% 
 
 Class B. Brother, sister, nephew, niece: 
 
 Not exceeding $25,000 ................. 3% 
 
 Exceeding $25,000 and not exceeding $100,000 ...... 4% 
 
 Exceeding $100,000 .... .............. 5% 
 
 Class C. All others .................. 5% 
 
 EXEMPTIONS: (*) 
 
 Husband, wife, father, mother, child, adopted child, adopted 
 
 father or mother: Estates valued at less than $10,000 
 
 are not taxed. 
 All others: Estates valued at less than $1,000 are not 
 
 taxed. 
 
 MICHIGAN: (C) (L) 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, child adopted 
 in conformity with laws of Michigan, person to whom dece- 
 dent stood for not less than 10 years prior to transfer in the 
 mutually acknowledged relation of parent, lineal descendant, i% 
 
 Class B. All others .................. 5% 
 
 EXEMPTIONS: (*) 
 Class A. All real estate. 
 
 Personal estates valued at less than $2,000 pass- 
 
 ing to each person are not taxed. 
 
 Class B. Estates valued at less than $100 passing to each 
 person are not taxed. 
 
 MINNESOTA: (C) (L) 
 
 Over $10,000 and less than $50,000 ........... i/^% 
 
 $50,000 or over and less than $100,000 .......... 3% 
 
 $100,000 or over .................... 5% 
 
 EXEMPTION: (*) (X) ............. . $10,000 
 
II 
 
 Rate 
 
 MISSOURI : (C, but only when corporation had knowl- of Tax. 
 edge that property was liable to tax.) (L, for five 
 years only as against purchasers.) 
 Collateral inheritance tax only. 
 
 Father, mother, husband, wife, legally adopted child, direct 
 
 lineal descendant No tax 
 
 All others 5% 
 
 MONTANA: (C, but corporation not liable unless it 
 has actual or constructive knowledge that tax is un- 
 paid.) 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, child adopted 
 in conformity with laws of Montana, lineal descendant 
 born in lawful wedlock, and persons standing for not less 
 than 10 years prior to death of decedent in mutually acknowl- 
 edged relation of parent and child i% 
 
 Class B. All others 5% 
 
 EXEMPTIONS: (f) 
 
 Class A. Estates valued at less than $7,500 are not taxed. 
 Class B. Estates valued at less than $500 are not taxed. 
 
 NEBRASKA : (C) (L, but a lien for only five years on realty.) 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, child adopted 
 in conformity with laws of Nebraska, any person with whom 
 the decedent stood for not less than 10 years prior to death 
 in the mutually acknowledged relation of parent and child, 
 lineal descendant born in lawful wedlock i% 
 
 Class B. Uncle, aunt, nephew, niece, lineal descendant of 
 
 same 2% 
 
 Class C. All others: 
 
 Not exceeding $5,000 2% 
 
 Exceeding $5,000 and not exceeding $10,000 3% 
 
 " 10,000 " " " 20,000 4% 
 
 20,000 " " " 50,000 5% 
 
 50,000 6% 
 
 EXEMPTIONS: (*) 
 
 Class A $10,000 
 
 Class B 2,000 
 
 Class C (|) 500 
 
12 
 
 Rate 
 NEW HAMPSHIRE: (C) (L) of Tat 
 
 Collateral inheritance tax only. 
 
 Father, mother, husband, wife, lineal descendant, brother, sis- 
 ter, adopted child, lineal descendant of adopted child, wife 
 or widow of son, husband of daughter No tax 
 
 All others 5% 
 
 NEW JERSEY: (C) (L on realty only.) 
 Collateral inheritance tax only. 
 
 Father, mother, husband, wife, child, lineal descendant born 
 in lawful wedlock, brother, sister, wife or widow of son, 
 husband of daughter No tax 
 
 All others 5% 
 
 EXEMPTION: (*) Amounts less than $500 passing to each 
 person are not taxed. 
 
 NEW YORK: (C) (L) (Q) 
 
 Where the amount of property passing does not ex- 
 ceed $25,000, at the rates specified in the column 
 headed " Rate of Tax," which are known as "Primary 
 Rates": 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, child 
 adopted in conformity with laws of New York or standing 
 in the mutually acknowledged relation of parent and child 
 for not less than 10 years, provided that the relationship 
 began before child's fifteenth birthday and was continuous 
 for 10 years thereafter, and provided that, except in case 
 of a step-child, the parents of such child shall have been 
 deceased when such relationship commenced, lineal de- 
 scendant born in lawful wedlock i% 
 
 Class B. All others 5% 
 
 When the property passing as above set forth ex- 
 ceeds in value $25,000, the "Primary Rates" above 
 given are increased by multiplication, as follows : 
 
 Exceeding $25,000 and not exceeding $100,000, 2 times 
 
 100,000 * 500,000, 3 " 
 
 500,000 ' 1,000,000, 4 " 
 
 " 1,000,000 5 " 
 
THE NEW YORK INHERITANCE TAX LAW OF 1911. 
 
 The new inheritance tax law of New York took effect July 21, 1911 . It 
 substantially reduces the rates of tax but leaves them higher than they were 
 before 19KK 
 
 The law of 1911 provides for the following taxes: 
 
 Direct Inheritances 
 
 including inheritances to father, mother, hus- 
 band, wife, child, brother, sister, wife or widow of 
 son, husband of daughter, adopted, or mutually 
 acknowledged child, lineal descendant: 
 
 First $5,000 Exempt 
 
 Excess over $5,000 up to $50,000 1% 
 
 Excess over 50,000 up to 250,000 2% 
 
 Excess over 250,000 up to 1 ,000,000 3% 
 
 Excessover 1,000,000 4% 
 
 Collateral Inheritances 
 
 including inheritances to persons other than 
 those enumerated above: 
 
 First $1,000 Exempt 
 
 Excessover $1,000 up to $50,000 5% 
 
 Excessover 50,000 up to 250,000 6% 
 
 Excess over 250,000 up to 1,000,000 7% 
 
 The exemptions apply to each inheritance rather than to the estate as 
 a whole. 
 
 The law of 1910 and the earlier laws as well, taxed non-residents on stocks 
 of New York corporations and on bank deposits and bonds kept in safe 
 deposit boxes within the state. 
 
 All this is done away with by the new law of 1911. It is expressly pro- 
 vided that the inheritance tax in the case of non-residents shall be collected 
 only on ''tangible property" within the state. "Tangible property" 
 is defined as such property as real estate, and goods, wares, and merchan- 
 dise, and is not to be taken to mean money, deposits in banks, shares of 
 stocks or bonds. 
 
 Residents of New York are to pay an inheritance tax on all their intan- 
 gible property wherever situated and on their tangible property located within 
 the state. Intangible property is defined as such property as money, 
 bank deposits, shares of stocks, bonds and notes. 
 
 These provisions put to an end the double taxation of non-residents bo 
 far as New York is concerned. They closely follow the model inheritance 
 tax law recommended by the International Tax Conference. (See page 
 115 infra.) 
 
 The example set by New York may lead other states which are trying 
 to tax non-residents to come into line. A resident of New York state still 
 may be liable for a double inheritance tax if he owns stock of a company in- 
 corporated in a state which is taxing the stock of its corporations when 
 owned by non-residents. If these states do not come in line, New York 
 may yet adopt retaliatory measures such as are already found in half a dozen 
 other states, for the protection of her own citizens. 
 
THE NEW YORK INHERITANCE TAX LAW OF 1911. 
 
 The new inheritance tax law of New York took effect July 21, 1911. It 
 subst.-antiallv reduces the rates of tax but leaves them higher than they were 
 before 1910. 
 
 The law of 1911 provides for the following taxes: 
 
 Direct Inheritances 
 
 including inheritances to father, mother, hus- 
 band, wife, child, brother, sister, wife or widow of 
 son, husband of daughter, adopted, or mutually 
 acknowledged child, lineal descendant: 
 
 First $5,000 Exempt 
 
 Excessover $5,000upto $50,000 1% 
 
 Excess over 50,000 up to 250,000 2% 
 
 Excess over 250,000 up to 1 ,000,000 3% 
 
 Excess over 1 ,000,000 4% 
 
 Collateral Inheritances 
 
 including inheritances to persons other than 
 those enumerated above: 
 
 First $1,000 Exempt 
 
 Excess over $1,000 up to $50,000 5% 
 
 Excess over 50,000 up to 250,000 6% 
 
 Excessover 250, 000 up to 1,000,000 7% 
 
 Excessover 1,000,000 8% 
 
 The exemptions apply to each inheritance rather than to the estate as 
 a whole. 
 
 The law of 1910 and the earlier laws as well, taxed non-residents on stocks 
 of New York corporations and on bank deposits and bonds kept in safe 
 deposit boxes within the state. 
 
 All this is done away with by the new law of 1911. It is expressly pro- 
 vided that the inheritance tax in the case of non-residents shall be collected 
 only on "tangible property" within the state. "Tangible property" 
 is defined as such property as real estate, and goods, wares, and merchan- 
 dise, and is not to be taken to mean money, deposits in banks, shares of 
 stocks or bonds. 
 
 Residents of New York are to pay an inheritance tax on all their intan- 
 gible property wherever situated and on their tangible property located within 
 the state. Intangible property is defined as such property as money, 
 bank deposits, shares of stocks, bonds and notes. 
 
 These provisions put to an end the double taxation of non-residents s>o 
 far as New York is concerned. They closely follow the model inheritance 
 tax law recommended by the International Tax Conference. (See page 
 115 infra.) 
 
 The example set by New York may lead other states which are trying 
 to tax non-residents to come into line. A resident of New York state still 
 may be liable for a double inheritance tax if he owns stock of a company in- 
 corporated in a state which is taxing the stock of its corporations when 
 owned by non-residents. If these states do not come in line, New York 
 may yet adopt retaliatory measures such as are already found in half a dozen 
 other states, for the protection of her own citizens. 
 
13 
 
 Rate 
 EXEMPTIONS: (*) (X) of Tax 
 
 Class A. Father, mother, widow, or minor child . . $5,000 
 All others .............. 500 
 
 Class B .................... I00 
 
 (NOTE. The comptroller's method of computation is adopted on 
 $500 and $100 exemptions. Some surrogates differ.) 
 
 NORTH CAROLINA: (L, on personalty only.) 
 
 Husband or wife ..................... No tax 
 
 Class A. Lineal issue, lineal ancestor, brother, sister, per- 
 son standing in relation of child ............. 
 
 Class B. Descendant of brother or sister ........ 
 
 Class C. Brother or sister of father or mother, descendant 
 
 of brother or sister of father or mother .......... 3% 
 
 Class D. Brother or sister of grandfather or grandmother, 
 descendant of brother or sister of grandfather or grand- 
 mother ........................ 4% 
 
 Class E. All others: 
 
 Not exceeding $5,000 ................. 5% 
 
 Exceeding $5,000 and not exceeding $10,000 ....... 7H% 
 
 10,000 " " " 25,000 ....... 10% 
 
 25,000 " " " 50,000 ....... 
 
 50,000 ................... 15 
 
 EXEMPTION: (*) 
 
 All classes .................. $2,000 
 
 NORTH DAKOTA : (L) Collateral inheritance tax only. 
 
 Class A. Father, mother, husband, wife, lineal descendant, 
 
 adopted child, lineal descendant of adopted child ..... No Tax 
 
 Class B. All others (but $25,000 exempt t ) ....... 2% 
 
 OHIO : Collateral inheritance tax only. 
 
 Class A. Father, mother, husband, wife, brother, sister, 
 nephew, niece, lineal descendant, adopted child or person 
 recognized as adopted child and made legal heir under laws 
 of Ohio, lineal descendant of adopted child, wife or widow of 
 son, husband of daughter ................ No tax 
 
 Class B. All others .................. 5% 
 
 EXEMPTION: (f) . ... $200 
 
14 
 
 Rate 
 
 OKLAHOMA: (L) (C) of Ta 
 
 Where the amount of property exceeds in value the 
 exemptions specified below, the following rates 
 known as "Primary Rates'* shall apply as follows: 
 
 On the first $5,000 of such excess in Class A. 
 
 On the first $2,000 of such excess in Classes B and C. 
 
 On the first $500 of such excess in Classes D and . 
 
 Class A. Husband, wife, lineal issue, lineal ancestor, child 
 adopted in conformity with laws of Oklahoma, child to whom 
 decedent for not less than 10 years prior to transfer stood 
 in mutually acknowledged relation of parent, provided such 
 relationship began at or before the child's fifteenth birthday 
 and was continuous for 10 years thereafter, lineal issue of 
 such adopted or mutually acknowledged child i% 
 
 Class B. Brother, sister, descendant of brother or sister, 
 
 wife or widow of son, husband of daughter i^% 
 
 Class C. Brother or sister of father or mother, descendant 
 
 of brother or sister of father or mother 3% 
 
 Class D. Brother or sister of grandfather or grandmother, 
 
 descendant of brother or sister of grandfather or grandmother, 4% 
 
 Class E. All others 5% 
 
 Class A. Upon all in excess of $5,000 the primary rate 
 shall be increased i-i25th of i % for every $100 increase. 
 
 Classes B and C. Upon all in excess of $2,000 the 
 primary rate shall be increased i-soth of i% for every 
 Sioo increase. 
 
 Classes D and E. Upon all in excess of $500 the 
 primary rate shall be increased i-ioth of i% for every 
 $100 increase. 
 
 EXEMPTIONS: (*) 
 
 Class A. Widow $10,000 
 
 All others 5,ooo 
 
 Class B 500 
 
 Class C 250 
 
 Class D 150 
 
 Class E . 100 
 
15 
 
 Rate 
 OREGON: (C) (L, for five years only.) of Tax. 
 
 Class A. Grandfather, grandmother, father, mother, hus- 
 band, wife, child, brother, sister, wife or widow of son, hus- 
 band of daughter, child adopted in conformity with the laws 
 of Oregon, any person with whom deceased stood for not 
 less than 10 years in the acknowledged relation of parent, 
 lineal descendant born in lawful wedlock i% 
 
 Class B. Uncle, aunt, nephew, niece, lineal descendant of 
 same a% 
 
 Class C. All others: 
 
 Not exceeding $10,000 3% 
 
 Exceeding $10,000 and not exceeding $20,000 4% 
 
 " 20,000 " " " 50,000 5% 
 
 " 50,000 6% 
 
 EXEMPTIONS: 
 
 Class A. Estates not exceeding $10,000 are not taxed, and 
 $5,000 to each person is exempt. 
 
 Class B. Estates not exceeding $5,000 are not taxed, and 
 $2,000 to each person is exempt. 
 
 Class C. Estates not exceeding $500 are not taxed, and 
 $500 to each person is exempt. 
 
 SOUTH DAKOTA: (C) (L, but lien for six years only 
 on realty.) 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, child adopted 
 in conformity with laws of South Dakota, person standing in 
 acknowledged relation of parent not less than 10 years prior 
 to death, lineal descendant born in lawful wedlock .... 
 
 Class B. Uncle, aunt, nephew, niece, lineal descendant of 
 
 ClaSS C. All others: 
 
 Not exceeding $10,000 4% 
 
 Exceeding $10,000 and not exceeding $20,000 6% 
 
 " 20,000 " " " 50,000 8% 
 
 " 50,000 10% 
 
i6 
 
 Rate 
 EXEMPTIONS: (*) of Tax. 
 
 Class A. Widow $20,000 
 
 All others 5,000 
 
 Class B 500 
 
 Class C 100 
 
 (NOTE. This tax law was held unconstitutional by the Supreme 
 Court of South Dakota in In re McKennan's Estate, 126 N. W. 
 611 (May, 1910). An application for a rehearing has, however, 
 been granted.) 
 
 TENNESSEE : (C) (L, on realty only and for five years.) 
 
 Class A. Father, mother, husband, wife, children, lineal de- 
 scendants born in lawful wedlock: 
 
 $5,000 and over, but less than $20,000 i% 
 
 $20,000 and over 
 
 Class B. All others 5% 
 
 EXEMPTIONS: (f) 
 
 Class A. Estates less than $5,000 are not taxed. 
 Class B. Estates less than $250 are not taxed. 
 
 TEXAS: (L) (Q) 
 
 Collateral inheritance tax only. 
 Father, mother, husband, wife, direct lineal descendant .... No tax 
 
 Class A. Lineal ascendant (other than father or mother), 
 brother, sister, lineal descendant of brother or sister: 
 
 " iing $2,000 and not exceeding $10,000 2% 
 
 " 10,000 " " " 25,000 2^% 
 
 ** tf r\f\f\ <* '* ** tfft f\f\f\ 3%) 
 
 10,000 " " 
 25,000 " " 
 
 II 
 M 
 
 25,OOO 
 SO.OOO 
 
 eo.OOO " " 
 
 M 
 
 IOO,OOO . . 
 
 100 000 " " 
 
 u 
 
 500.00O 
 
 500.000 . 
 
 
 
 gwjv/w iwjww ....... ^ ( 
 
 4% 
 
 " c-nrt nftft 3% 
 
 Class B. Uncle, aunt, lineal descendant of same: 
 
 Exceeding $1,000 and not exceeding $10,000 3% 
 
 " 10,000 " " " 25,000 4% 
 
 " 25,000 " " " 50,000 5% 
 
 " 50,000 " " " 100,000 6% 
 
 " 100,000 " " " 500,000 7% 
 
 " 500,000 8% 
 
17 
 
 Rate 
 
 Class C. All others: O f Tax. 
 
 Exceeding $500 and not exceeding $10,000 ....... 4% 
 
 10,000 " " " 25,000 ....... 
 
 " 25,000 " " " 50,000 ....... 7% 
 
 " 50,000 " " " 100,000 ....... 8^% 
 
 " 100,000 " " " 500,000 ....... 10% 
 
 " 500,000 ................... 12% 
 
 EXEMPTIONS: (*) 
 
 Class A .................... $2,000 
 
 Class B .................... 1,000 
 
 Class C .................... 500 
 
 UTAH: (C) (L) 
 
 Uniform rate ....................... 5% 
 
 EXEMPTION: (f) (X) .............. $10,000 
 
 VERMONT: (C) (L) 
 
 Collateral inheritance tax only. 
 
 Father, mother, husband, wife, lineal descendant, step-child, 
 adopted child, child of step-child or adopted child, wife or 
 widow of son, husband of daughter ........... No tax 
 
 All others ........................ 5% 
 
 WASHINGTON: (C) (L) (Q) 
 
 Class A. Father, mother, husband, wife, lineal descendant, 
 adopted child, lineal descendant of adopted child ..... i % 
 
 Class B. Collateral heirs to and including third degree of re- 
 lationship: 
 Not exceeding $50,000 ................. 3% 
 
 $50,000 to $100,000 .................. 4^% 
 
 Exceeding $100,000 .................. 6% 
 
 Class C. Collateral heirs beyond third degree, or strangers: 
 
 Not exceeding $50,000 ................. 6% 
 
 $50,000 to $100,000 .................. 9% 
 
 Exceeding $100,000 .................. 12% 
 
 Class D. Collateral relatives or strangers who are non- ""] 
 
 L resident aliens: 
 On all sums ..................... 25% I 
 
i8 
 
 Rate 
 
 EXEMPTION: (t) (X) of Tax. 
 
 Class A $10,000 
 
 (NOTE. The 25% tax on Class D was held contrary to the treaty 
 with Norway and Sweden in In re Stixruffs Estate, 109 Pac. 343, 
 as denying to aliens equal rights to take property. As there are 
 similar treaties with most of the large European countries, a 
 similar result is to be expected, and an alien will be taxed only 
 to the same extent and degree as a citizen. 
 
 WEST VIRGINIA: (L) (Q) (C, but only where rea- 
 sonable cause to know property is liable to tax.) 
 
 Where the amount of the property passing does not 
 exceed $25,000, at the rates specified in the column 
 headed "Rate of Tax," which are known as "Pri- 
 mary Rates." 
 
 Class A. Husband, wife, child, lineal descendant, lineal 
 
 ancestor i% 
 
 Class B. Brother or sister (not including half-brothers) . . 3% 
 Class C. All others 5% 
 
 When the property passing as above set forth ex- 
 ceeds in value $25,000, the "Primary Rates" above 
 given are increased by multiplication, as follows : 
 
 Exceeding $25,000 and not exceeding $50,000, i % times 
 
 50,000 " " " 100,000, 2 
 
 100,000 " " 500,000, 2^ 
 
 500,000 3 
 
 EXEMPTIONS: (*) 
 
 Class A. Widow $15,000 
 
 All others 10,000 
 
 WISCONSIN: (C) (L) (Q) 
 
 Where the amount of the property passing does not 
 exceed $25,000, at the rates specified in the column 
 headed "Rate of Tax," which are known as "Pri- 
 mary Rates." 
 
 Class A. Husband, wife, lineal issue, lineal ancestor, child 
 adopted in conformity with laws of Wisconsin, child to whom 
 decedent for not less than 10 years stood in mutually ac- 
 knowledged relation of a parent, provided relationship began 
 before child's fifteenth birthday and was continuous for 10 
 years thereafter, lineal issue of any adopted or mutually 
 acknowledged child 
 
19 
 
 Rate 
 
 Class B. Brother, sister, descendant of brother or sister, of Tax. 
 wife or widow of son, husband of daughter ........ 
 
 Class C. Brother or sister of father or mother, descendant 
 
 of brother or sister of father or mother .......... 3% 
 
 Class D. Brother or sister of grandfather or grandmother, 
 descendant of brother or sister of grandfather or grand- 
 mother ........................ 4% 
 
 Class E. All others .................. 5% 
 
 When the property passing exceeds in value $25,000, 
 the "Primary Rates" above given are increased by 
 multiplication, as follows : 
 
 $25,000 to $50,000, i H times 
 50,000 to 100,000, 2 
 
 100,000 tO 500,000, 2^2 
 
 Exceeding 500,000, 3 
 
 EXEMPTIONS: (*) (X) 
 
 Class A. Widow ............... $10,000 
 
 All others .............. 2,000 
 
 Class B .................... 500 
 
 Class C .................... 250 
 
 Class D .................. 150 
 
 Class E . 100 
 
 WYOMING: (C) 
 
 Class A. Father, mother, husband, wife, child, brother, sis- 
 ter, wife or widow of son, husband of daughter, child adopted 
 in conformity with the laws of Wyoming, person who stood 
 for not less than 10 years prior to death in acknowledged 
 relation of parent, lineal descendant born in lawful wedlock, 2% 
 
 Class B. All others 5% 
 
 EXEMPTIONS: (t) 
 
 Class A $10,000 
 
 Class B. Estates less than $500 in value are not taxed. 
 
07604