Are interest and penalties assessed on delinquent inheritance and estate transfer taxes?
There is no interest or penalties assessed on delinquent estate transfer taxes. For inheritance tax, Revised Statute 47:2420(A) provides that interest will be assessed at ½ percent per month, beginning nine months after the death of the decedent, and one percent per month, beginning 12 months after the death of the decedent until the inheritance tax is paid. If the settlement of the succession is bona fide contested or it is proved that the beneficiary was ignorant of the inheritance, the interest will not be imposed. If a succession is opened judicially within nine months following the death of the decedent or the taxes owed by a descendant or ascendant on an inheritance valued at less than $100,000, no interest will be assessed on delinquent inheritance tax.
