Releasing Estate Tax Liens
Real property in Massachusetts is subject to a lien for estate taxes upon the death of anyone who has a legal interest in the property.
For a majority of estates, there is no estate tax actually due, but unless a release of estate tax lien form is filed with the Registry of Deeds, there is a claim against the title of property owned by the decedent for ten years following his or her death.
The procedure for releasing the Massachusetts estate tax lien varies depending on whether an estate tax return is required and the date of death of the property owner.
- For all estates required to pay estate taxes: The standard method of obtaining a release of estate tax lien is to file an estate tax return (M-706) with the Massachusetts Department of Revenue (DOR) and obtain from the DOR a Release of Estate Tax Lien Certificate, known as an M-792 certificate, which is then filed at the Registry of Deeds.
Click here for link to DOR Estate Tax Publications and Forms. - Where no return is required and the date of death is after December 31, 2002: The estate tax lien may be released by filing a notarized affidavit that the gross estate of the decedent does not necessitate a Massachusetts estate tax filing. In such cases the M-792 certificate is not required.
- Is an estate tax return required? For Massachusetts residents, whether an estate tax return is required depends on the gross estate value and the date of death of the decedent. (For nonresidents, there are other rules- contact an attorney or DOR.)
In 2006, the Massachusetts gross estate valuation filing threshold was set at $1,000,000.00. In 2023 and thereafter, the threshold is set at $2,000,000.
Form of affidavit: Affidavits filed to release the estate tax lien should include:
- The decedent’s full name
- The decedent’s date of death
- The decedent’s residence (domicile) at the time of death
- The title reference(s) of the decedent’s property in the County where the affidavit is to be filed
- A statement that the gross estate of the decedent does not necessitate a Federal estate tax filing.
- A statement that affidavit is signed under the penalties of perjury
- The name and designation of the person signing the affidavit. (Examples of persons who may file the affidavit are: executor, administrator, spouse, surviving joint tenant or remainderman after a life estate or personal representative appointed by the Probate Court).
- The affiant’s signature needs to be acknowledged by a notary public
- The recording fee for an affidavit is $105 for recorded land and $105 for registered land
- A death certificate may be recorded with the affidavit. Separate recording fees ($105) apply for the death certificate