Recent Examples of estate tax from the Web
Before now, the previous best year to die was 2010 when the estate tax took a gap year.
And attitudes toward the estate tax seem more responsive to facts.
As a symbol of societal priorities, however, the estate tax matters a lot, at least to me.
The transaction was structured as a leasehold condominium, which functions much like a regular lease but exempts nonprofits from real-estate taxes if used for certain purposes and for a term of at least 30 years.
Living trusts may include provisions meant to reduce estate taxes, such as language creating a bypass trust upon death, but those are the same kinds of provisions that can be included in wills.
Another argument critics may make against getting life insurance: People frequently buy a policy to help their family take care of estate taxes, and now that the estate-tax exemption has been raised, there is not a need for coverage.
Several rules in regard to gift and estate taxes did not change.
Revocable living trusts also don't get special estate tax treatment.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'estate tax.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
Financial Definition of ESTATE TAX
What It Is
An estate tax is levied on assets inherited by the heirs to a deceased person's estate.
How It Works
The estate tax is applied differently according to U.S. Federal and state laws as well as international law. Typically, estate taxes are only levied once a certain threshold, known as the exclusion limit, has been reached.
Estate taxes are not applicable if a person bequeaths (transfers) the assets from the estate to a living spouse. This type of transfer is known as the unlimited marital deduction. However, in the event that the spouse dies, the beneficiaries may be required to pay estate taxes if the exclusion limit is exceeded.
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Why It Matters
Estate taxes, like other taxes on unearned incomes, are a source of revenue for governments that use it to finance various projects. The issue of the estate tax has become highly politicized, and it is sometimes referred to as the "death tax" by people who oppose it.
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ESTATE TAX Defined for English Language Learners
Definition of estate tax for English Language Learners
: a tax that you pay on the money and other property that comes to you because someone has died : a tax on an estate that you inherit
legal Definition of estate tax
Seen and Heard
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