A federal tax levied on the value of the inheritance of a deceased person to transmit his or her property and life insurance at death is called a(n)________ tax.

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An estate tax is a federal tax levied on the value of the estate (the total assets) of a deceased person before the property is distributed to the heirs. It is different from an inheritance tax, which is paid by the beneficiaries of the estate.

A Federal Tax Levied on the Value of the Inheritance