Also, in this case, it isn't double-taxed. The heirs never paid tax on it. It's very likely that estates of that size have tax-deferred parts or insurance.
Finally, there are many incorrect statements in the description of the estate tax above that would probably lead you to believe that you have to pay 40% of 5.3m, which is not true
1. You get deductions (like outstanding mortgages and medical bills)
2. You pay the tax on the net OVER 5.3m.
So, in the case described above, the estate tax would be $0.
Finally, there are many incorrect statements in the description of the estate tax above that would probably lead you to believe that you have to pay 40% of 5.3m, which is not true
1. You get deductions (like outstanding mortgages and medical bills)
2. You pay the tax on the net OVER 5.3m.
So, in the case described above, the estate tax would be $0.