What This Calculator Screens For in MarylandA triage screen, not a tax return
For Maryland estates, the first triage question is whether the taxable estate exceeds the state's $5,000,000 exemption. An estate above that amount can owe Maryland estate tax even when it is below the federal threshold, so this tool screens for both the state and the federal exposure.
Probate questions and estate-tax questions are not the same thing. A family can have a probate problem with no tax issue, or a tax-sensitive estate that still transfers efficiently through trust planning.
What the screen looks atState estate-tax status, the federal threshold, and return context
Maryland State Estate Tax Applies
Maryland imposes its own state estate tax with a $5,000,000 exemption, separate from the federal estate tax. This tool screens both the state and the federal exposure.
Federal Threshold
The current screen uses a federal estate-tax exclusion amount of $15 million per person for 2026.
Return Context
Even when no tax is likely due, larger estates may still need more careful return and planning review than a rough calculator can provide.
Frequently Asked Questions
Does Maryland have a state estate tax?
What federal threshold does this Maryland calculator use?
Does every large estate owe federal estate tax?
Is this the same as preparing Form 706?
Official Sources and Further ReadingOfficial references used for this page
- Md. Code, Tax-General 7-202 (Inheritance tax imposed)
- Read in full at mgaleg.maryland.gov on 2026-10-07 (Maryland prints no catchlines). (b)(1) "child" includes a stepchild or former stepchild, "parent" a stepparent or former stepparent, and "surviving spouse" means one who has not remarried; (b)(2) exempt: grandparent, parent, spouse, child or lineal descendant of a child, spouse of either, surviving spouse of a deceased child or descendant, brother or sister, and an entity owned only by them.
- Read in full at mgaleg.maryland.gov on 2026-10-07 (Maryland prints no catchlines). (a) "clear value" is fair market value minus expenses; (b) the inheritance tax rate is 10% of the clear value of the property that passes from a decedent.
- Read in full at mgaleg.maryland.gov on 2026-10-07 (Maryland prints no catchlines). (b)(3)(i) the Maryland exclusion is $5,000,000 for decedents dying on or after January 1, 2019, plus any deceased spousal unused exclusion under (b)(9) (stepped $1.5M 2015, $2M 2016, $3M 2017, $4M 2018); (b)(3)(iii) unless the federal 2011 credit is in effect, the credit used may not exceed 16% of the taxable estate above that amount; (c) qualified agricultural property.
- Comptroller of Maryland - Estate and Inheritance Tax
- IRS Estate Tax
- Read in full at mgaleg.maryland.gov on 2026-10-07 (Maryland prints no catchlines). 7-202: tax on the privilege of receiving property that passes from a decedent and has a taxable situs in Maryland; 7-203: exemptions; 7-204: 10% of clear value. Also read: 7-215 and 7-216 (the distributor pays the register before distribution and is liable until paid) and 7-304(b) (the estate tax is reduced by other death taxes paid).
- Maryland tax source 2
- IRS estate and gift tax overview
- IRS About Form 706
- IRS Publication 559 for survivors, executors, and administrators
Information current as of May 31, 2026
Settled Estate is not a law firm, and this content is for informational purposes only and does not constitute legal advice. Probate laws and procedures in Maryland can change. Consult with a qualified attorney for advice specific to your situation. Full disclaimer.