Estate tax still applies for 2012
LISBON – Ohio’s estate tax may be no more, but any estates above a certain dollar amount left behind by a person who died in 2012 is still subject to the tax.
The state legislature voted in 2011 to abolish Ohio’s estate tax, effective Jan. 1, 2013, but the Columbiana County Auditor’s Office issued a reminder that the tax still applies to persons who died last year with estates in excess of $338,333.
Prior to this year, the tax was 6 percent for estates in excess of $338,333 and 7 percent for estates of $500,000 or more. There was no tax if the estate was transferred to a surviving spouse.
The tax reportedly affected 7 percent of all estates and generated $250 million in revenue for cities, villages and townships, and $60 million for state government. The amount obviously varied from year to year and community to community, but it provided extra operating dollars for local governments.
Columbiana County communities received $616,941 in estate tax revenue last year, according to figures provided by the auditor’s office. The following is a breakdown:
– Center Township, $898.
– Columbiana, $38,044.
– East Liverpool, $41,584.
– Fairfield Township, $3,409.
– Knox Township, $8,753.
– Lisbon, $106.
– Liverpool Township, $66,433.
– Perry Township, $22,362.
– Salem, $244,978.
– Unity Township, $220,013.
– Madison Township, $9,311.
– Salem Township, $7065.
– St. Clair Township, $14,083.
– Summitville, $5,399.
– Wayne Township, $23,498.
Communities received more than $800,000 in estate taxes in 2010.
Supporters pushed for the legislation in the belief Ohio was losing many retirees to some of the 30 other states that have no estate tax, especially warm-weather retirement destinations such as Florida, California and Texas, or the border states of West Virginia and Michigan.