United States Wealth & Property Tax
Detailed wealth & property tax rates and rules for United States in 2026.
Inheritance / Estate Tax
The federal estate tax applies to estates exceeding $13.61 million per individual in 2024 ($27.22 million for married couples using portability). Estates above the exemption threshold are taxed at graduated rates from 18% to 40%. There is no federal inheritance tax, but six states (Iowa, Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania) impose state-level inheritance taxes. Twelve states and the District of Columbia also levy their own estate taxes, often with lower exemption thresholds than the federal level.
Top Rate
40%
Property Tax
Property taxes are levied exclusively at the state and local level in the United States, primarily by counties, municipalities, and school districts. They are the largest source of revenue for local governments. Effective property tax rates vary significantly, from as low as 0.29% in Hawaii to over 2.2% in New Jersey. Properties are assessed at market value or a fraction thereof, and homestead exemptions are available in many states to reduce the taxable value of a primary residence. The federal SALT deduction cap limits the deductibility of state and local taxes (including property taxes) to $10,000 per year on federal returns.
How United States Wealth Tax compares
United States does not tax net wealth. 191 of 203 countries TaxAtlas tracks take the same approach, which is useful context when weighing where to live, invest, or incorporate.
