Annuity

What is the name of your state? NC
My father passes away last year and I received an annuity from him. Do I pay taxes on this annuity since I inherited it?

Usually, but you should get a tax credit for the taxes the estate paid. The key is whether he would have paid taxes on the annuity if he'd received it while alive. $$ that would have been taxable to him is taxable to you.