# Estate Tax

*Taxes — Finicade finance glossary*

Estate tax is levied on the value of assets transferred at death above an exemption threshold. In the US that federal exemption is in the millions, so it touches a very small share of estates — but several states levy their own at far lower thresholds, and an inheritance tax charged to the recipient works differently again. Assets left to a spouse or charity are generally exempt, which is the foundation of most estate planning.

**Also known as:** death tax, inheritance tax, estate duty

**Related terms:** [Gift Tax](https://finicade.com/glossary/gift-tax), [Estate Planning](https://finicade.com/glossary/estate-planning), [Step-Up in Basis](https://finicade.com/glossary/step-up-in-basis), [Trust](https://finicade.com/glossary/trust), [Probate](https://finicade.com/glossary/probate)

Source: https://finicade.com/glossary/estate-tax