Estate taxes and life insurance in Florida
Whether the state taxes the estate or the heirs, what still gets taxed regardless, and how to collect a life insurance payout.
Last updated May 11, 2026. Sources are linked at the bottom of the page.
Does Florida tax the estate or the heirs?
Two different taxes get confused. An estate tax is paid by the estate before anything is distributed. An inheritance tax is paid by the person who receives the money, often at rates that depend on how closely related they were. Most states have neither. The federal estate tax exists everywhere but only applies above a high exemption that most families never reach.
Florida has no state estate tax and no inheritance tax.
| State estate tax | No |
|---|---|
| State inheritance tax | No |
| Details | Florida has no state estate or inheritance tax. Federal estate tax still applies above the federal exemption. |
| Income tax on inherited assets | No state income tax. Federal income tax on inherited IRAs, etc. applies normally. |
Even with no state death taxes, two things still apply: the deceased person's final income tax return has to be filed, and inherited retirement accounts (IRAs, 401(k)s) are taxed as income when withdrawn. A CPA who does estate work can tell you in one conversation whether anything here is going to matter for your family.
Claiming life insurance in Florida
Life insurance pays the named beneficiary directly and does not go through probate. To claim it you typically need the policy number, a certified death certificate, and the insurer's claim form. If you cannot find the policy, check the person's bank statements for premium payments, ask their employer about group coverage, and search the state's unclaimed property database.
| General guidance | No statutory filing deadline; file as soon as practical. Contestability period generally 2 years from policy issue. |
|---|---|
| State insurance regulator | myfloridacfo.com/division/consumers |
If an insurer delays or denies a claim you believe is valid, the state insurance regulator linked above handles complaints and is more effective than most families expect.
Want this organized for your situation? The free walkthrough asks a few questions about who died, where, and your relationship to them, and builds a checklist for the first days and weeks in Florida.
More for Florida
Primary sources
- State insurance regulator: myfloridacfo.com/division/consumers
- Attorney General consumer protection: myfloridalegal.com/consumer-protection