Legal Question in Wills and Trusts in New York

No. The inheritance is not taxable.

You do not indicate what is being distributed, and this determines possible income tax to the beneficiary. If what is being distributed was an income-tax deferred asset, like a 401(K) or an IRA, it may require a W-9, since the proceeds are still subject to the deferred income tax. The estate may have had an estate/inheritance tax obligation due to its size, and these assets were included in the taxable value, but these assets also have an inherent income tax liability that was not paid by the estate, unless the estate cashed in the accounts. Since these accounts usually have a designated beneficiary, the income tax liability is due/paid by the account beneficiary.

Walter's is the correct answer.