Inheritance Tax

Inheritance Tax is a tax imposed on the estate of a deceased person. It is calculated based on the value of the assets and property transferred to heirs or beneficiaries after the individual’s death. The tax is typically applied to the net value of the estate, which is the total value of all assets minus any debts and liabilities. Inheritance Tax rates can vary significantly depending on the jurisdiction and the amount inherited. Certain exemptions and thresholds may apply, meaning that only estates above a specific value are subject to the tax. Additionally, different rates may apply to various beneficiaries based on their relationship to the deceased. This tax aims to provide revenue for the government while addressing wealth distribution and equity issues.