As KDKA money editor Jon Delano explains, turns out we are one of the few states left that do this. No matter what you inherit from your parents, siblings, or friends, Harrisburg still wants you to ante up.
"Pennsylvania, unfortunately, in a lot of tax areas is an outlier relative to the rest of the nation," says Timothy Vermeer, a senior policy analyst with the Tax Foundation. "Pennsylvania is one of only six states that has an inheritance tax." While 12 states tax the decedent's estate before assets are distributed to the heirs – that's an estate tax — most states have phased out the inheritance tax, which taxes the person inheriting as Pennsylvania does.