Forbes Publishes Guide on Post-Death Tax and Administrative Tasks

Forbes published a guide on May 23, 2026, that outlines tax, legal, and practical steps for survivors handling an estate. The article addresses state-level estate and inheritance taxes, final income tax filings, inherited retirement accounts, and management of household possessions and records.

Kelly Phillips Erb, a Forbes senior writer who covers tax, wrote the guide after her father died in October 2025. She stated that families often face unexpected administrative tasks including tax returns, probate proceedings, and distribution of personal property.

Twelve states and the District of Columbia impose estate taxes with exemptions lower than the federal threshold of $15 million per person. Five states impose inheritance taxes that apply based on the relationship between the deceased and the heir. The guide notes that some states without death taxes still maintain costly probate systems or mandated attorney fees.

Forbes provides state-by-state details and suggestions for minimizing state-level obligations.

A final Form 1040 is generally required for the year of death. An estate may also need to file Form 1041 if it generates sufficient post-death income. 0, enacted in 2019 and 2022, require many non-spouse beneficiaries to withdraw funds from inherited retirement accounts within ten years. The guide identifies common errors in applying this rule.

Inherited property receives a step-up in basis to fair market value at death for capital gains purposes. Collectibles are subject to a higher maximum long-term capital gains rate. The article advises retaining tax returns and supporting documents for at least three years after filing, with longer retention required in cases involving fraud or omitted income.

Families are encouraged to review documents before distributing assets or closing accounts.