§ 47–3702. Tax on transfer of taxable estate of residents; amounts; credit; property of resident defined.

(a) A tax in the amount of the federal credit is imposed on the transfer of the taxable estate having its taxable situs in the District of every resident decedent dying after March 31, 1987, but before January 1, 2016, subject, where applicable, to the credit provided for in subsection (b) of this section.

(a-1) A tax is imposed on the taxable estate of every resident decedent dying after December 31, 2015, as follows:

(1) The rate of tax shall be 16%; except, that the portion of the taxable estate that does not exceed the current zero bracket amount shall be taxed at 0%, and if the taxable estate exceeds the zero bracket amount, the following tax rates shall be applied to the incremental values of the taxable estate above the zero bracket amount:

(A) The rate of tax on the taxable estate over $1 million but not over $1.5 million shall be 6.4%;

(B) The rate of tax on the taxable estate over $1.5 million but not over $2 million shall be 7.2%;

(D) The rate of tax on the taxable estate over $2.5 million but not over $3 million shall be 8.8%;

(E) The rate of tax on the taxable estate over $3 million but not over $3.5 million shall be 9.6%;

(F) The rate of tax on the taxable estate over $3.5 million but not over $4 million shall be 10.4%;

(G) The rate of tax on the taxable estate over $4 million but not over $5 million shall be 11.2%;

(H) The rate of tax on the taxable estate over $5 million but not over $6 million shall be 12%;

(I) The rate of tax on the taxable estate over $6 million but not over $7 million shall be 12.8%;

(J) The rate of tax on the taxable estate over $7 million but not over $8 million shall be 13.6%;

(K) The rate of tax on the taxable estate over $8 million but not over $9 million shall be 14.4%; and

(L) The rate of tax on the taxable estate over $9 million but not over $10 million shall be 15.2%.

(2) If any real or tangible personal property of a resident decedent has a taxable situs outside the District, the amount of the tax due under this section shall be reduced by the proportion that the value of the real or tangible property outside the District bears to the amount of the gross estate of the resident decedent.

(b) For a decedent dying before January 1, 2016, if any real or tangible personal property of a resident is located outside the District and subject to a death tax imposed by another state for which a credit is allowed under § 2011 of the Internal Revenue Code of 1954, the amount of tax due under this section shall be credited with the lesser of:

(1) The amount of the death tax paid the other state and that qualifies for credit against the federal estate tax; or

(2) An amount computed by multiplying the federal credit by a fraction, the numerator of which is the value of that part of the gross estate over which another state or states have jurisdiction to the same extent that the District would exert jurisdiction under this chapter with respect to the residents of the other state or states and the denominator of which is the value of the decedent’s gross estate.

(Feb. 24, 1987, D.C. Law 6-168, § 3, 33 DCR 7008; June 24, 1987, D.C. Law 7-9, § 3, 34 DCR 3283; enacted, Apr. 9, 1997, D.C. Law 11-254, § 2, 44 DCR 1575; Feb. 26, 2015, D.C. Law 20-155, § 7012(f)(2), 61 DCR 9990; Oct. 22, 2015, D.C. Law 21-36, § 7045, 62 DCR 10905.)

Prior Codifications

1981 Ed., § 47-3702.

Effect of Amendments

The 2015 amendment by D.C. Law 20-155 substituted “resident decedent dying after March 31, 1987, but before January 1, 2015” for “resident dying on or after April 1, 1987” in (a): added (a-1); added “For a decedent dying before January 1, 2015” in (b); and repealed (c).

The 2015 amendment by D.C. Law 21-36 substituted “before January 1, 2016” for “before January 1, 2015” in (a) and (b); and rewrote (a-1)(1).

Emergency Legislation

For temporary (90 days) amendment of this section, see § 7022(f)(2) of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) amendment of this section, see § 7012(f)(2) of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) amendment of this section, as amended by D.C. Law 20-155, § 7012(f)(2), see § 2(l)(4) of the Fiscal Year 2015 Budget Support Clarification Emergency Act of 2014 (D.C. Act 20-461, November 6, 2014, 61 DCR 11784, 20 STAT 4368).

For temporary (90 days) amendment of this section, see § 7012(f)(2) of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

For temporary (90 days) amendment of this section, see § 2(l)(4) of the Fiscal Year 2015 Budget Support Clarification Emergency Act of 2014 (D.C. Act 20-587, January 13, 2015, 62 DCR 1294, 21 STAT 758).

For temporary (90 days) amendment of this section, see § 7016(u) of the Fiscal Year 2016 Budget Support Emergency Act of 2015 (D.C. Act 21-127, July 27, 2015, 62 DCR 10201).

Temporary Legislation

For temporary (225 days) amendment of this section, see § 2(q) of the Fiscal Year 2015 Budget Support Clarification Temporary Amendment Act of 2014 (D.C. Law 20-179, March 7, 2015, 62 DCR 424).