Tax Data Series

 

Estate Tax

Estate Tax Distributions to all Governmental Units for Settlement Periods during Calendar Year 2010

Under current law, the estates of residents with a net taxable value of $338,333 or less are effectively exempt from payment of the tax. A 6 percent tax rate applies to any net taxable value above that mark, up to $500,000. A 7 percent rate applies to any net taxable value over $500,000.

Although the tax commissioner has primary administrative responsibility for Ohio's estate tax, the tax is collected by the treasurer of the county in which the decedent resided.  Payment by the estate executor is due no later than nine months from the date of the decedent's death (although installment payments are allowed for some estates). 

Semi-annual settlements required by section 5731.46 of the Ohio Revised Code are processed by the Ohio Department of Taxation.  Two settlement periods in six-month increments are designated: August 21st through February 25th and February 26th through August 20th.  This publication shows distributions made from August 21, 2010 through August 20, 2011.

After processing the semi-annual settlements, each county distributes estate tax revenue to the state and local governments.  The money is distributed as follows:

•     Estates with dates of death prior to June 30, 1983: 50 percent to the municipal corporation or township of origin; 50 percent, less cost of local administration, to the state General Revenue Fund.

•     Estates with dates of death between July 1, 1983 to December 31, 2000: 64 percent to the municipal corporation or township of origin; 36 percent, less cost of local administration, to the state General Revenue Fund.

•     Estates with dates of death on or after January 1, 2001 to December 31, 2001: 70 percent to the municipal corporation or township of origin; 30 percent, less cost of local administration, to the state General Revenue Fund.

•     Estates with dates of death on or after January 1, 2002: After prescribed local costs of administration are defrayed, 80 percent of the remainder goes to the municipal corporation or township of origin, and 20 percent of the remainder goes to the state General Revenue Fund.

During calendar year 2010, total estate tax revenues distributed to all local entities amounted to $208.0 million.  The amount remitted to the state was $56.5 million in 2010 (such amount is not shown in the table).  The local distributions ranged from a high of $10.9 million in the City of Cincinnati, Hamilton County, to a low of -$230,726 in the City of New Albany, Franklin County. 

When an estate has property in more than one jurisdiction, the county that processes the return must distribute the taxes due to those localities.  In reporting this information, most counties cite each jurisdiction outside of their county along with the amount distributed to them. However, some counties do not or can not specify these jurisdictions.  These entries are accounted for and labeled “unidentified”.

The figures shown are compiled from a survey of county auditors conducted by the Ohio Department of Taxation.