Tax Question on Small Estate

[Coreybeth]

What is the name of your state?What is the name of your state? MN

My husband died recently and had only life insurance as assets. My question is two of his life insurance policies went to his children from first marriage. Those proceeds were well over the $20K limit of a small estate if I understand MN law correctly. How will that be taxed? Will the whole $20K have to be filed as an asset? Excuse my ignornance. Thanks, Coreybeth

 

[seniorjudge]

http://www.wwwebtax.com/income/interest_life_insurance.htm

Start your research here.


The life insurance proceeds do not go through probate; thus, they are not any kind of asset of the dead person's probate estate.