Will my inheritance be taxed?

Generally speaking, an inheritance is not taxed to the party that receives it but rather to the party giving the property. An exception to this general rule is when the gift is of appreciated property so that when the person receiving the gift later sells it they have to pay tax on the difference between the cost basis on the property and the selling price. Thus if she gave you appreciated stock as opposed to cash, you could end up having to pay tax on the gain between what your grandmother's cost basis in the property and what it was sold for. This is why many people wanting to make a gift at year end will maximize the value of the gift by giving appreciated property to a charity at year end. Did this answer your question(s)? Details and context often affect the validity and usefulness of an answer that is based on a general statement of the law. You may need to consult directly with an attorney in order to get the best answer.

No. But she should file a gift tax return with the IRS for the year she gives you more than $13,000.