N.J. Admin. Code § 18:26-5.1

Current through Register Vol. 56, No. 8, April 15, 2024

Section 18:26-5.1 - Transfers generally

(a) Any transfers of property, real or personal, with a value of $ 500.00 or more, or any interest in a transfer or income from a transfer which interest or income is $ 500.00 or more in value, whether such transfer, interest, or income is held in trust or otherwise to or for the use of any transferee, distributee, or beneficiary, is subject to the transfer inheritance tax at the rates designated in N.J.A.C. 18:26-2.3, 2.7, and 2.8.

(b) In any case where a transfer or any interest or income is less than $ 500.00 in value, the transfer, interest, or income is exempt from the tax; provided, however, if the transfer, interest or income is valued at $ 500.00 or more, then the entire transfer, interest, or income is subject to tax.

Example: Mr. X bequeaths his gold ring worth $ 250.00 to Ms. Y. Since this is the only transfer made to Ms. Y, the transfer is not subject to tax. If Mr. X had bequeathed not only the ring but a watch and chain worth $ 300.00, then the transfer would be taxable and the tax would be based upon the entire amount, that is, $ 550.00.

N.J. Admin. Code § 18:26-5.1

Adopted by 50 N.J.R. 1624(a), effective 7/16/2018