Texas Comptroller Manual of Accounts - Fiscal 2025
Revenue Object 3110 – Inheritance Tax

Created 1923 by the 38th Leg. Previously under Tax Code Ch. 211. Tax on the transfer, at death, of a resident's property. Also applied to property located in Texas of every non-resident and alien. The amount of the state tax was equal to the amount of the federal credit under federal estate tax rules.

Amended by H.B. 325, 67th Leg. R.S. effective September 1, 1981. Estate of a person who died prior to 9/1/81 was taxed at rates in effect prior to that date. Penalties of $10 for failure to file final tax return within period provided and 5% of unpaid tax for failure to pay tax on or before due date or extension.  Interest accrued on tax not paid within 9 months from date of death at rate set § 111.060, Tax Code.

H.R. 1836, 107th U.S. Congress (2001 - 2002) phased out the amount states collect by 25% each calendar year beginning in 2002. The federal credit was eliminated calendar year 2005. Therefore, the state inheritance tax tied to the federal credit was discontinued. Not collected on dates of death on or after January 1, 2005. Repealed by S.B. 752, 84th Leg., R.S.