estate tax

American  

noun

1. a tax imposed on a decedent's property, assessed on the gross estate prior to distribution to the heirs.

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Etymology

Origin of estate tax

First recorded in 1905–10

Example Sentences

“Now that the estate tax isn’t an issue, they put little bit more of a premium on the step-up in basis,” he says.

From Barron's • Feb. 28, 2026

As recently as 2009, the federal estate-tax exemption was $3.5 million for an individual, with the estate tax rate at 45% for anything above that exemption, according to the Tax Foundation External link.

From Barron's • Feb. 28, 2026

In other words, beneficiaries generally do not directly pay federal estate tax; it is settled by the estate prior to distribution.

From MarketWatch • Feb. 26, 2026

The gift tax applies to the wealth transfer over your lifetime and is paid by the donor; an estate tax is levied on the estate of the deceased.

From MarketWatch • Jan. 6, 2026

She does not know how or where to join in when her children are talking about Woody Allen movies or real estate tax laws or somebody’s yoga class.

From "Hunger of Memory" by Richard Rodriguez

Related Words

• death tax
• inheritance tax