If you have questions about either the estate tax or inheritance tax, call (517) 636-4486. There is no estate tax in Michigan.No matter the size of your estate, you won't owe money to the Wolverine State. Yes, the Inheritance Tax is still in effect, but only for those individuals who inherited from a person who died on or before September 30, 1993. Michigan does not have an inheritance or estate tax, but your estate will be subject to the Wolverine State's inheritance laws. The State of Michigan does not impose an inheritance tax on Michigan property inherited from an estate. The Michigan inheritance tax was eliminated in 1993. Michigan is moderately taxfriendly for retirees, with no tax on Social Security, estates or most inheritances and a lower sales tax compared with other states.