Do you have to pay tax on money received as a beneficiary?

In general, beneficiaries do not have to pay income tax on money received from an inheritance or as part of a trust distribution. However, any income generated from that inheritance, such as interest or dividends, may be subject to taxes. Additionally, estate taxes may apply to the deceased's estate before assets are distributed to beneficiaries, depending on the estate's value and local laws. It's always advisable to consult with a tax professional for specific guidance.