Estate Tax
Estate tax is a tax imposed on the total value of a deceased person's estate before it is distributed to heirs. It applies to assets such as property, money, and investments. Generally, only estates exceeding a certain value threshold are taxed. The tax rate can vary based on the estate's size and the laws of the jurisdiction. The purpose of estate tax is to generate revenue for the government and ensure a fair contribution from substantial inheritances. Heirs typically receive the remaining assets after the tax has been paid.
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Estate tax is a tax imposed on the total value of a deceased person's assets before distribution to their heirs. This includes property, investments, cash, and other belongings. Each country has its own rules regarding exemptions and tax rates, meaning not all estates are taxed. Generally, only larger estates exceed the exemption limit and thus owe taxes. The goal of the estate tax is to generate revenue for the government and address wealth inequality. Executors of the estate are responsible for calculating and paying the tax from the estate's funds before assets are transferred to beneficiaries.