An Act relative to the Massachusetts estate tax code

This bill increases Massachusetts' estate tax exemption to $2.75 million (adjusted annually for inflation based on the CPI), setting new tax rates for estates exceeding this threshold. It allows a principal residence exclusion for Massachusetts residents who owned their home as a primary residence for at least two years in the five years before death, and permits using a deceased spouse's unused federal estate tax exclusion for Massachusetts purposes. The tax applies to estates of Massachusetts residents dying on or after January 1, 2024, and to non-residents owning property in Massachusetts at death. The rates start at 10% for estates over $0 up to $5 million, then increase progressively for larger estates.