[tharbin78]

I also am inheriting money from another country. 5.5 million. When it is transferred, will I have to pay any kind of taxes on it? Tim

[AtlantaTaxExpert]

Tim,

There are NO transfer taxes in the United States, but there might be one from the originating country.

You WILL have to report the transfer on Form 3520, but that is information only; no tax.

[The Junoo]

It depends; As long as the decedent in neither a U.S. citizen or a US resident, then there will not be a U.S. estate tax.However, there may be a state inheritance/estate tax ;about 9 states still have them . California has no estate taxes, so California residents don’t have to worry about estate/inheritance tax on any inheritance at the state level, regardless of whether it includes foreign assets. So, foreign inheritances are subject to estate taxes AS LONG AS the donor (the deceased person whose property you are inheriting) is a citizen or resident of the United States in which case their entire world-wide estate is subject to U.S. estate taxes; the estate includes U.S. situs property , I mean any property located in the US or issued in the US in the case of stocks and similar assets in which case only the U.S. situs property is subject to estate taxes.When the inherited money is transferred to a U.S. account, as long as it is reported properly, this money is not subject to estate tax unless one of the two conditions above apply. In any case, it is best to have an estate lawyer and a CPA/ an EA review your foreign inheritance to ensure that any taxes that may be due are paid. It is not a good idea to try to determine this yourself because tax laws are complex and changing. While a foreign inheritance may not be subject to taxes, income generated from money in foreign accounts probably will be. NOTE: Citizens and residents of the US are required to report all foreign accounts to the IRS on their tax return even if the accounts don’t produce any income!