PA Inheritance Tax on Real Estate
By Sean Quinlan, Esq. · Updated January 15, 2025
Real estate is the asset that surprises non-resident owners the most. Pennsylvania asserts inheritance tax on any PA real estate, even when the decedent was a Florida or New Jersey resident.
Resident vs. non-resident
PA residents are taxed on worldwide probate assets. Non-residents are taxed only on PA-situs real estate and tangible personal property — but at the same rates by relationship.
Joint ownership
Real estate held jointly with right of survivorship is taxed at the decedent's fractional share, except between spouses where it is fully exempt.
Life-estate deeds
A retained life estate brings the full value back into the taxable estate under 72 P.S. § 9107(c)(2). The deed avoids probate but not tax.
Filing
Use REV-1737 for non-resident decedents. The county Register of Wills where the real estate sits is the proper filing location.
See the Pennsylvania inheritance tax overview for full rate tables.
This article is general information about Pennsylvania law as of the update date above. It is not legal advice for your situation and does not create an attorney-client relationship. For advice on your specific facts, please schedule a consultation.
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