Estate Tax

Estate tax is a tax imposed by governments on the transfer of a deceased person's estate to their heirs or beneficiaries. It is levied on the total value of assets, such as property, investments, and cash, after deducting allowable exemptions and deductions. This tax is distinct from inheritance tax, which is paid by the recipient rather than the estate itself.

Also known as: Death Tax, Inheritance Tax (in some contexts), Estate Duty, Succession Tax, Wealth Transfer Tax

Why learn Estate Tax?

Developers should understand estate tax when building financial planning software, tax calculation tools, or applications for wealth management and estate administration. Knowledge is crucial for creating systems that handle asset valuation, tax compliance, and inheritance planning, especially in jurisdictions with complex tax laws like the United States or the United Kingdom.

Learning Resources

• docs: IRS Estate Tax Overview
• tutorial: Investopedia: Estate Tax Definition
• video: Khan Academy: Estate and Gift Taxes
• docs: Nolo: Estate Tax Basics