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Federal Estate Tax

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Federal Estate Tax
A tax in the United States applied to the value of the estate of a deceased person after all debts of the deceased are paid. The federal estate tax has a large exemption; the amount varies, but is always more than $1 million. The federal estate tax derives fairly little income for the federal government, but it is used to prevent (or at least reduce) the proliferation of dynastic wealth. See also: Death Tax.


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