DC Estate Tax: Threshold & Rate Bands Guide

A rate table denominated in absolute dollar bands, not excess over the exemption — a genuinely uncommon structure worth understanding before you run the numbers.

D.C. Code §47-3702(a-1)

Quick answer: exclusion of $4,988,400 for 2026, then graduated bands from 11.2% to 16% that actually apply once the exclusion is subtracted. Run your own numbers in the DC estate tax calculator.

Bands measured in absolute dollars, not excess

Why the published 6.4% rate is never actually paid today

The 2026 exclusion, $4,988,400, sits inside the "$4 million to $5 million" band. Because everything at or below the exclusion is untaxed regardless of which band it occupies, the bands below $4,988,400 — 6.4% through 10.4% — are entirely absorbed by the exclusion for every estate today. The first dollar any DC estate actually pays tax on falls in the remaining sliver of the $4-5 million band, taxed at 11.2%.

A steadily rising exclusion, not always tied to federal law

DC's exclusion started at $1,000,000 for deaths from 2003 through 2016, then rose to $2,000,000 for 2017, jumped sharply to $5,600,000 for 2018 as DC began tracking a figure closer to the pre-TCJA federal exclusion, and has grown gradually since — $5,681,760 for 2019, $5,762,400 for 2020, and further increases through $4,528,800 for 2023 and $4,988,400 for 2026.

Out-of-DC property reduces the bill

For a DC resident who also owns real or tangible personal property outside the District, the computed tax is reduced by the proportion that the value of that out-of-DC property bears to the decedent's total gross estate.

Facing probate in Washington DC?

A local probate attorney can review your estate — many offer a free consultation.

Talk to a Washington DC attorney

Form D-76 must be filed whenever the gross estate is $1,000,000 or more, even if no federal Form 706 is required, and the return is due 10 months after death — a full month longer than the 9-month deadline common in most states. Interest on unpaid tax runs at 10% per year compounded daily, with a penalty of 5% per month (capped at 25%) for late filing or payment.

Threshold & rate bands — frequently asked questions

What exactly is the "zero bracket amount" in DC's estate tax law?

It's DC's own term for the current exclusion amount — the portion of a taxable estate that is taxed at 0%. For 2026, that figure is $4,988,400.

How has DC's exclusion changed over time?

It started at $1,000,000 for deaths from 2003 through 2016, jumped to $2,000,000 for 2017, then to $5,600,000 for 2018 when DC began tracking a formula closer to the pre-TCJA federal exclusion, and has grown gradually since, reaching $4,988,400 for 2026.

How does apportionment work for a DC resident who owns out-of-DC property?

The computed tax is reduced by the proportion that the value of real or tangible property located outside DC bears to the value of the decedent's total gross estate — so out-of-DC real estate and tangible property shrink the DC tax bill.

When is the DC estate tax return due?

10 months after the date of death — longer than the 9-month deadline common in most states, though a return may still be required even when the federal Form 706 is not.

What are the Washington DC estate tax threshold and rate?

Exclusion of $4,988,400 for 2026, then graduated bands from 11.2% to 16% that actually apply once the exclusion is subtracted.

This page provides general guidance only and is not legal or tax advice. Based on D.C. Code §47-3702, §47-3705. Confirm current figures with the DC Office of Tax and Revenue or a licensed attorney before acting.