How do I calculate estate taxes?

In Missouri, the calculation of estate taxes is determined by the Missouri Department of Revenue, which has a unique formula for calculating the estate tax due after the death of an individual. The formula takes account of both the value of the estate, as well as any applicable allowances and exemptions. To begin with, the gross value of the estate must be determined. This includes the value of any real or personal property, as well as the value of any stocks, bonds or other investments. After the gross value is calculated, any allowable deductions and exemptions must be subtracted. For example, Missouri allows a $5,600 deduction for each marital partner and any surviving dependent children, as well as an unlimited amount of deductions for funeral and burial expenses. Once the deductions have been subtracted from the gross value of the estate, the taxable amount is determined. This taxable amount is then multiplied by Missouri’s estate tax rate to determine the amount of estate tax due. Currently, the estate tax rate is set at 6.25%, so for a taxable amount of $100,000, the estate tax due would be $6,250. It is important to note that these calculations can be complex, so it can be helpful to consult with a lawyer or CPA when dealing with estate taxes in Missouri.

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