How are Jointly Owned Assets Taxed for Inhertance Tax Purposes?
Fifty (50%) percent of the value of assets owned jointly by the decedent and one other person are subject to inheritance tax provided that the assets were owned jointly for at least one (1) year prior to the date of death. If the assets were owned jointly for less than one year before date of death, 100% of their value will be subject to tax. **There might be a $3000 gift exclusion that applies for assets owned jointly for less than one year. ** If additional individuals are joint owners then the fractional share considered to be owned by the decedent will be subject to the inheritance tax. ie. 3 joint owners= 1/3 taxable. 4 joint owners= 1/4 taxable etc.
