inheritance tax

American  

noun

1. a tax levied on the right of an heir to receive a decedent's property, the rate being a percentage of the value of the property.

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inheritance tax British  

noun

1. (in Britain) a tax introduced in 1986 to replace capital transfer tax, consisting of a percentage levied on that part of an inheritance exceeding a specified allowance, and scaled charges on gifts made within seven years of death

2. (in the US) a state tax imposed on an inheritance according to its size and the relationship of the beneficiary to the deceased

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Etymology

Origin of inheritance tax

First recorded in 1835–45

Example Sentences

Not only does Florida not have a state income tax, it doesn’t have an estate tax or an inheritance tax.

From Barron's • Apr. 20, 2026

Here’s the bottom line: Most states that carry an inheritance tax exempt spouses and, relevant in your case, children, and/or they provide generous credits.

From MarketWatch • Feb. 21, 2026

The good news: many states exempt children from inheritance tax.

From MarketWatch • Feb. 21, 2026

While only one voted against, more than 30 of them actively abstained on a parliamentary vote on the inheritance tax policy earlier this month to demonstrate their concerns.

From BBC • Dec. 24, 2025

Many benefits are claimed for the inheritance tax.

From Problems in American Democracy by Williamson, Thames Ross

Related Words

• death tax
• estate tax