Can the funeral expenses and unpaid bills of the decedent be deducted from the amount subject to tax?

Yes. Unsatisfied liabilities incurred by the decedent prior to his / her death are deductible against his/her taxable estate. In addition to debts incurred by the decedent or the estate, the cost of administration, attorney fees, fiduciary fees, funeral and burial expenses including the cost of a burial lot, tombstone or grave marker, and other related burial expenses, are deductible.

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1. Are taxes payable on an estate?
2. What property is subject to inheritance tax?
3. Can the funeral expenses and unpaid bills of the decedent be deducted from the amount subject to tax?
4. Recently my mother died and now I am being told that I will have to pay an inheritance tax on my own money, can this be correct?
5. What is the family exemption and how much can be claimed?
6. Who is entitled to claim the family exemption?
7. Where is the inheritance tax return to be filed?