Some states impose an estate tax equal to the credit allowed for state death taxes on the federal estate tax return.

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Some states have an estate tax that is designed to capture the maximum amount allowed under the federal estate tax credit for state death taxes, effectively not increasing the overall tax burden on the estate but rather shifting a portion of what would be paid to the federal government to the state level. This is often referred to as a "pick-up" or "sponge" tax.

Some States Impose an Estate Tax Equal to the Credit