H.B. 66 estate tax changes

The Probate Law Journal of Ohio in its July/August issue has two notes to pass along, both relative to the new budget bill.

The additional estate, or so-called “sponge” tax was repealed, being phased out along with the phasing out of the federal estate tax credit for state death taxes.
Offsetting that, perhaps, is that H.B. 66 reinstates income taxes on trusts for tax year 2005 and makes it permanent. According to the ‘Journal, “Since we had no tax in 2005 until HB 66 became effective, estimated payments for trusts won’t be due (with respect to tax year 2005) until Sept. 15th..

Additional information on changes to estate tax law can be found in the Ohio Legislative Service’s bill analysis (near the end).