Understanding Gift and Estate Tax in the United States
Postado 2025-05-09 08:29:42
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Gift and estate tax in the United States refers to federal taxes imposed on the transfer of property either through gifting during a person’s lifetime or upon death. This tax system is designed to prevent large wealth transfers from escaping taxation. The IRS allows for annual gift exclusions and lifetime exemptions, but exceeding these limits may result in tax liabilities. Estate planning strategies often include trusts, lifetime giving, and asset valuation to minimize tax exposure. Understanding the rules and exemptions related to gift and estate tax is essential for individuals aiming to manage and preserve wealth across generations legally and efficiently.
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