Schuylkill official proposes change in formula for inheritance tax

One of the duties of a county register of wills is to collect inheritance taxes and disburse them.

Currently, it’s done on a sliding scale: up to $200,000, 4.25% is retained by the county; and from $200,000 to $1 million, 1.75% is retained.

Once that figure tops $1 million, the percentage retained by the county drops to 0.5%.

Schuylkill’s register of wills, Theresa Santai-Gaffney, wants to see that figure increased to 1%, and she’s proposed doing so.

Sen. David G. Argall, R-29, is a supporter.

“This legislation will mean an increase in the funds counties retain for local programs and services,” Argall said. “In light of the fact that the money is generated within a given county and the county register of wills is tasked with collecting the funds, this formula allows for a fairer distribution of these funds.”

Santai-Gaffney said that when she first talked with Argall, he was immediately on board.

“We’re the gatekeepers,” she said. “I’d like to see it go from 0.5 to 1%, stay in each county where it’s earned, to help our citizens especially our seniors and our veterans.”

Based on inheritance taxes collected in past years, the additional money could range from $26,000 to $45,000 each year. Inheritance taxes collected in Schuylkill County have topped the $1 million mark in amounts collected ranging from $6.4 million to $10.1 million.

As of July, the amount collected was $1.8 million.

During the period of 2012 through 2018, the commission received by the county was $446,617. If the proposed formula change had been in place, the commission received by the county during the same time period would have been an additional $248,220.