Pennsylvania Inheritance Tax: Rates & Who Pays

Four flat rates, and a class system that surprises people who assume close family is automatically exempt.

72 P.S. §9116

Quick answer: 0% spouse/young child from a parent, 4.5% other lineal heirs, 12% siblings, 15% everyone else. Run your own numbers in the Pennsylvania inheritance tax calculator.

The four classes, straight from the statute

Why siblings pay more than children

Pennsylvania's 4.5% lineal rate applies strictly to the direct family line — children, grandchildren, parents, and grandparents. Siblings sit in their own separate class under §9116, taxed at 12%, regardless of whether they share two parents, one parent, or were adopted into the same family.

Stepchildren generally count as lineal, with a limit

Stepchildren and step-descendants are generally treated as lineal descendants and taxed at 4.5%, without needing formal adoption. But a step-relationship outside the direct parent-child line — a step-sibling with no shared biological or adoptive parent, for instance — can still fall to the 15% catch-all rate.

No recognition for unmarried partners

Pennsylvania does not recognize domestic partnerships outside of legal marriage for inheritance tax purposes — an unmarried partner pays the 15% rate even after decades of cohabitation, with no lower-rate category available regardless of the relationship's length or nature.

The 0% child rate is genuinely recent

For deaths on or after January 1, 2020, Act 13 of 2019 set the 0% rate for transfers from a natural, adoptive, or stepparent to a child age 21 or younger — a relatively recent addition to the exempt list, and one that runs both directions between that parent and that child.

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See Pennsylvania Inheritance Tax Exemptions for the asset-specific carve-outs — life insurance, family farms, and more — that apply on top of these relationship-based rates.

Rates & who pays — frequently asked questions

Why are siblings taxed at 12% instead of the 4.5% lineal rate?

Pennsylvania's 4.5% lineal rate applies to the direct family line — children, grandchildren, parents, and grandparents. Siblings are treated as a separate class under 72 P.S. 9116 and taxed at 12%, whether they share two parents, one parent, or were adopted into the same family.

Are stepchildren taxed at 4.5% or 15%?

Stepchildren and step-descendants are generally treated as lineal descendants and taxed at 4.5%, without needing formal adoption — but a step-relationship outside the direct parent-child line can still fall to the 15% catch-all rate.

Does Pennsylvania recognize unmarried domestic partners for a lower rate?

No. Pennsylvania does not recognize domestic partnerships outside of legal marriage for inheritance tax purposes — an unmarried partner pays the 15% rate even after decades of cohabitation.

When did the 0% rate for young children start applying to parent-child transfers in both directions?

For deaths on or after January 1, 2020, Act 13 of 2019 set the 0% rate for transfers from a natural, adoptive, or stepparent to a child age 21 or younger.

This page provides general guidance only and is not legal or tax advice. Based on 72 P.S. §9116, as amended by Act 13 of 2019. Confirm current figures with the Pennsylvania Department of Revenue or a licensed attorney before acting.