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Unified Credit

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Unified Credit
In the United States, a tax credit on estates and large gifts. The unified credit is exceptionally large so that most people will not need to pay federal taxes on their estates and large gifts. For example, the unified credit on an estate is usually around $1 million, meaning that the estate has to be worth more than that in order to be subject to the estate tax.

unified credit
A credit used against federal taxes due on estates and large gifts. Under current law, the unified credit is sufficient to offset taxes on values of approximately $1 million in estates and large gifts. Thus, the combination of estate value and large gifts must exceed $1 million during a person's lifetime before any taxes must be paid to the federal government.


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Byline: Zaher Bitar, Staff Reporter Dubai: Gulf lenders should develop a unified credit bureau to share data as this will help to reduce the number of bad debts, a top banker has said.
In 2001, Congress approved increases to the estate and gift tax exemptions--formerly known as the unified credit, which currently exempts the first $1 million of an estate from tax liability.
What is the exemption equivalent unified credit against estate tax for 2002 and what is the progression the new law allows?
 
 
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