How Much Are Estate & Inheritance Taxes in Indiana?
Indiana levies no estate or inheritance taxNo state estate, inheritance, or generation skipping tax. HEA 1001 (2013) (P.L.205-2013) repealed all three, eff. Jan. 1, 2013 (inheritance tax repeal applies to deaths after Dec. 31, 2012) — IC 6-4.1-12-0.5; IC 6-4.1-11 (estate tax) and IC 6-4.1-11.5 (GST) repealed; Ind. DOR Departmental Notice #44 (Sept. 2023)Verified Sep 15, 2026View source; only the federal estate tax applies above $15,000,00026 USC 2001(c), 2010; P.L. 119-21 §70106Verified Sep 15, 2026View source.
No. Indiana imposes no state estate tax and no inheritance taxNo state estate, inheritance, or generation skipping tax. HEA 1001 (2013) (P.L.205-2013) repealed all three, eff. Jan. 1, 2013 (inheritance tax repeal applies to deaths after Dec. 31, 2012) — IC 6-4.1-12-0.5; IC 6-4.1-11 (estate tax) and IC 6-4.1-11.5 (GST) repealed; Ind. DOR Departmental Notice #44 (Sept. 2023)Verified Sep 15, 2026View source. Only the federal estate tax applies, on an estate above $15,000,00026 USC 2001(c), 2010; P.L. 119-21 §70106Verified Sep 15, 2026View source, an exemption the One Big Beautiful Bill Act (P.L. 119-21 §70106) set permanently from 2026 and indexes for inflation.
Not on the inheritance itself: Indiana taxes neither the estate nor the beneficiaryNo state estate, inheritance, or generation skipping tax. HEA 1001 (2013) (P.L.205-2013) repealed all three, eff. Jan. 1, 2013 (inheritance tax repeal applies to deaths after Dec. 31, 2012) — IC 6-4.1-12-0.5; IC 6-4.1-11 (estate tax) and IC 6-4.1-11.5 (GST) repealed; Ind. DOR Departmental Notice #44 (Sept. 2023)Verified Sep 15, 2026View source, and the IRS does not treat an inheritance as income. What an heir can owe is income tax on withdrawals from an inherited retirement account, and capital gains on a later sale of inherited property, where the basis is reset to fair market value on the date of death26 USC § 1014Verified Sep 15, 2026View source and the gain faces ordinary income tax at the state's regular ratesIN DOR Departmental Notice #1 (R46 / 01-26) — state AGI rate, eff. Jan. 1, 2026 (IC 6-3-2-1)Verified Sep 15, 2026View source.
The federal estate tax exemption is $15,000,00026 USC 2001(c), 2010; P.L. 119-21 §70106Verified Sep 15, 2026View source per person, with a top rate of 40%26 USC 2001(c)Verified Sep 15, 2026View source. A married couple can shield26 USC 2010(c)(5)Verified Sep 15, 2026View source $30,000,00026 USC 2001(c), 2010; P.L. 119-21 §70106Verified Sep 15, 2026View source by electing portability of the first spouse's unused exemption on a timely estate tax return. The One Big Beautiful Bill Act (P.L. 119-21 §70106) set the exemption permanently from 2026, indexed for inflation.
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Inheritance
Inheriting assets brings responsibility. How to manage, protect, and plan for inherited wealth — including tax implications and trust options.
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Death of a Parent
A step-by-step guide to what happens after a parent dies: the documents to find, the certificates to order, and whether probate is even required.
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Loss of a Spouse
What a surviving spouse needs to do: death certificates, survivor benefits, whether probate is even required, and the tax election that expires.
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Named as Executor
What an executor actually does: getting appointed, notifying creditors, paying debts and taxes, and where personal liability starts.
Learn moreForms for Planning and Settling an Estate in Indiana
Free Indiana forms for planning an estate or settling one: a will, trust, powers of attorney, TOD deed, and the probate forms an executor files.
Digital Assets Recovery Letter
Prepare a letter requesting a deceased person's online accounts, points, and balances from the program that holds them.
Notice to Creditors
In Indiana, the notice to creditors is published for 2IC 29-1-14-1, 29-1-7-7, 29-1-14-9, 29-1-14-10Verified Sep 15, 2026View source weeks in a local newspaper, and creditors have 3 monthsIC 29-1-14-1Verified Sep 8, 2026View source from first publication to present claims.
Renunciation of Executor
In Indiana, a person named as personal representative may renounce the right to serveInd. Code § 29-1-10-2Verified Sep 23, 2026View source before anyone is appointed.
Affidavit of Heirship
In Indiana, heirs put their identity on the land records with an affidavit of heirship recorded with the countyIC 29-1-7-23; IC 29-1-8-1(c); IC 29-1-6-6Verified Sep 24, 2026View source; once recorded it is prima facie evidence of the facts stated.
Small Estate Affidavit
In Indiana, the Small Estate AffidavitIC 29-1-8-1Verified Sep 8, 2026View source covers estates valued at $100,000IC 29-1-8-1Verified Sep 8, 2026View source or less, 45 daysIC 29-1-8-1Verified Sep 8, 2026View source after death, presented directly to the bank or other holder, not filed with a court.
Estate Inventory
In Indiana, the personal representative files the estate inventory within 60 daysIC 29-1-12-1, IC 29-1-7.5-3.2Verified Sep 15, 2026View source of appointment.
Estate Closing
In Indiana, the personal representative is discharged automatically once the statutory period runsIC 29-1-7.5-4(b), 29-1-7.5-6; IC 29-1-17-13 (supervised track)Verified Sep 15, 2026View source, and a final accounting is required unless it is waived.
Tools for Planning and Settling an Estate in Indiana
Free calculators and checklists for planning or settling an estate in Indiana: will and trust costs, probate, executor pay, and inheritance taxes.
What Taxes Apply to My Inheritance?
Indiana imposes no inheritance or estate taxNo state estate, inheritance, or generation skipping tax. HEA 1001 (2013) (P.L.205-2013) repealed all three, eff. Jan. 1, 2013 (inheritance tax repeal applies to deaths after Dec. 31, 2012) — IC 6-4.1-12-0.5; IC 6-4.1-11 (estate tax) and IC 6-4.1-11.5 (GST) repealed; Ind. DOR Departmental Notice #44 (Sept. 2023)Verified Sep 15, 2026View source; probate assets arrive when the estate closes, 6 months to 9 months for a simple estate.
How Does Step-Up in Basis Work?
Inherited assets in Indiana take a basis reset to fair market value on the date of death26 USC § 1014Verified Sep 15, 2026View source, and the gain on a later sale faces ordinary income tax at the state's regular ratesIN DOR Departmental Notice #1 (R46 / 01-26) — state AGI rate, eff. Jan. 1, 2026 (IC 6-3-2-1)Verified Sep 15, 2026View source.
What Are the Estate Laws in My State?
Probate on a $500,000 estate in Indiana costs an estimated $24,871IC 29-1-10-13 (reasonable compensation; no statutory percentage)Verified Sep 8, 2026View source and takes 6 months to 9 months for a simple estate, with attorney fees of typically 1.8%IC 29-1-10-13 (reasonable compensation; no statutory percentage)Verified Sep 8, 2026View source to 2.8%IC 29-1-10-13 (reasonable compensation; no statutory percentage)Verified Sep 8, 2026View source of the estate. Estates under $100,000IC 29-1-8-1Verified Sep 8, 2026View source can use a small-estate procedure instead.
When Do I Have to Withdraw an Inherited IRA?
See which federal withdrawal rules apply to an inherited IRA, Roth IRA, or employer plan, the deadline year, and the missed-withdrawal tax.
How Much Does Probate Cost?
Probate on a $500,000 estate in Indiana costs an estimated $24,871IC 29-1-10-13 (reasonable compensation; no statutory percentage)Verified Sep 8, 2026View source. Attorney fees run 1.8%IC 29-1-10-13 (reasonable compensation; no statutory percentage)Verified Sep 8, 2026View source to 2.8%IC 29-1-10-13 (reasonable compensation; no statutory percentage)Verified Sep 8, 2026View source of the estate under a reasonable-compensation standard.
Who Inherits Without a Will?
Without a will in Indiana, a surviving spouse takes half of the estateIC § 29-1-2-1Verified Sep 10, 2026View source when every child of either spouse is a child of both, and descendants divide what passes to them per capita with representationIC § 29-1-2-1(d)(1)Verified Sep 10, 2026View source.
How Many Death Certificates Do I Need?
In Indiana, certified death certificates come from the Indiana Department of Health - Division of Vital RecordsIndiana Department of Health - Division of Vital RecordsVerified Oct 15, 2026View source; the first copy costs $8Indiana Department of Health - Division of Vital RecordsVerified Oct 15, 2026View source, additional copies $4Indiana Department of Health - Division of Vital RecordsVerified Oct 15, 2026View source each.
Do I Need Probate?
In Indiana, estates valued at $100,000IC 29-1-8-1Verified Sep 8, 2026View source or less skip probate with the Small Estate AffidavitIC 29-1-8-1Verified Sep 8, 2026View source, 45 daysIC 29-1-8-1Verified Sep 8, 2026View source after death.
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Indiana Estate Planning Resources
In-depth guides covering Indiana probate laws, trust requirements, and estate planning strategies.