Articles in Home | Finance | Taxes

  • VAT registration in UK  By : Mike25 Bern25
    VAT registration in UK

    Being a business owner, it is extremely important to be aware of and have a clear idea about the concept of VAT or value added tax. It is extremely necessary to understand the concept of VAT, before going into the detailed information about VAT registration. In order to know and understand more about the process of VAT registration, having a good and clear understanding about value added tax is extremely crucial. Being a business owner in UK, you must have a clear conception about what is VAT, who needs to pay it and how it works. In order to know about VAT registration, you need to know when it is compulsory for your company to have VAT registration and what are the positives and negatives of voluntary registration.
  • When Do You Have To file A Tax Return?  By : Kenneth Scott
    Every year, millions of Americans dread the inevitable; they have to gather all of their receipts and records and get ready to file their Federal Income Tax Returns.
  • New Interest Expense Allocation Rules  By : Douglas Stransky
    This article analyzes new Internal Revenue Code Section 864(e), which provides an opportunity for taxpayers to elect to modify their interest expense allocation for foreign tax credit purposes.
  • Taxes - Who Should I Turn To?  By :
    This article tells that professionals are who to turn to and why.
  • Preparing Your Annual Federal Taxes  By : Hernando Quevedo
    Prepare your annual federal taxes, is a task that comes every year when it is time for spring. All Americans that have a work need to do this. You can do your taxes by yourself, or you can use professional services provided by a company or a tax accountant.
  • Do You Owe Taxes On That Gift?  By : Jeffrey Voudrie
    Capital gains taxes can be confusing. How much tax do you pay on an inheritance? How much if the property is passed on as a gift prior to death? Jeff puts this difficult subject into simple terms.
  • Car Donation - Quick Tips To Help You Donate A Car  By : Helen Hecker
    Cars and other vehicles can be donated at any time of the year, from anywhere in the United States.
  • 2008 Economic Slow Down Could Hit Euro Tax Havens  By : Roger Munns
    Europe's tax havens have seen rising property prices and buoyant economies in recent years, but oil prices and a global economic slowdown could hit both Monaco and Andorra in 2008.
  • With These Tips Taxi Driver Accounts Do Not Have To Be Taxing  By : Terry Cartwright
    Taxi Drivers should not to bury their heads under the dashboard when it comes to producing a set of taxi driver accounts. Producing a set of taxi accounts without the use of a taxi accountant is possible and significantly easier if a professional taxi accounting software package is used.
  • C-Corp Asset vs. Stock Sale Dilemma  By : Dave Kauppi
    This Article summarizes a solid strategy for enabling C-Corp shareholders to enjoy a substantial gain in take home cash compared with a traditional asset sale scenario.
  • 2008 Attack On Tax Havens  By : Roger Munns
    The UK's Tory Party is producing policy statements to help them win the next Geneal Election.

    Their plan to reform taxation and abolish inheritance tax could affect the European tax havens of Monaco, Andorra and Gibraltar.
  • How To Avoid Vat Inspection Problems  By : Terry Cartwright
    Trained vat officers inspect company accounts on a regular basis and know exactly the types of errors likely to be uncovered. The article explains how to avoid problems by keeping accurate accounting records and the most common mistakes businesses make.
  • VAT Refund: Why You Should Get Professional Help To Reclaim VAT  By : Leslie Gilmour
    Large amounts of value added tax (VAT) on purchases made in Europe go unclaimed by companies each year. The main reason is that many companies are unaware they can reclaim VAT on purchases made outside their own countries.
  • An Introduction To Registration And Accounting For Value Added Tax  By : Terry Cartwright
    Value added tax is the tax amount added to the value of goods and services by a vat registered business when sold or transferred. Vat is not charged by businesses that are not registered for vat. This guide covers the vat threshold, accounting for value added tax, registration and submitting the quarterly vat tax return online.
  • Differences In Tax Services  By : Jim Brown
    While all tax services achieve the same result, there are many differences in tax services and people have learned to study those differences carefully before they file their tax returns with the Internal Revenue Service each year.
  • Do Not Take On Your IRS Problems on Your Own  By : Kris Koonar
    You may be a tax compliant, filing all your returns on time and having no issues with the tax authorities in the past. Yet one fine day you receive the dreaded certified mail from the IRS you open it and you find a 30-day notice to pay the amount the IRS says you owe it, or you receive a telephone call from the IRS.
  • Dealing with IRS Appeals  By : Kris Koonar
    With the right information and the right professionals backing you, getting an appeal in your favor is possible.
  • Options For Selecting Tax Services  By : Jim Brown
    The variety of tax services offered to consumers today has expanded and consumers are now able to select a variety of services that are tailored to specific needs.
  • Strategies to Solve Your IRS Problems  By : Kris Koonar
    Owing money to the IRS is an onerous liability. The sooner an IRS tax problem is resolved the better. There is practically no way in which you can wriggle out of the situation to avoid payment.
  • How to Choose a Tax Professional for Your IRS Problems  By : Kris Koonar
    With their experience and knowledge, a CPA can save you time and money, and in most cases you will not have to personally go to the IRS Office. The key here is to choose an efficient and honest tax professional who can solve your problem in the least amount of time and whose charges are reasonable.
  • What You Should Do When You Receive an IRS Notice of Intent to Levy  By : Kris Koonar
    If you have ignored earlier notices from the IRS urging you to pay your unpaid taxes or informing you about some errors in the calculation of your taxes, then the IRS will start using their heavy weapons. They will send you a Notice of Intent to Levy.
  • What to Do When IRS Sends You Certified Mail  By : Kris Koonar
    Few people are happy or are looking forward to receive a communication from IRS.Please remember that IRS may ask you a series of questions depending on your status as a taxpayer.
  • Methods to Get Out of Tax Debt  By : Kris Koonar
    Individual circumstances related to federal tax liability of different taxpayers require different solutions for getting out of tax debt. There are five ways to deal effectively with tax debt that cannot be paid immediately.
  • How to Obtain an IRS Levy Release  By : Kris Koonar
    The IRS collects taxes on behalf of the Government. Many times, citizens do not pay their taxes on time and end up ignoring the various notices issued by the IRS due to various reasons. This can prove to be a costly mistake, since the IRS has powers to seize your bank account.
  • Simple Ways You Could Benefit When Settling Your IRS Debt  By : Kris Koonar
    When one intends to settle the tax debt he should have a look at the tax returns to see if any tax waivers have been missed. This would help reduce the tax liability to some extent. There are many schemes available to settle the tax debt.
  • Be Aware Of Your Rights When You Solve an IRS Problem  By : Kris Koonar
    When you file your tax returns to the IRS, they process the information. You will normally, be intimated by the IRS when they feel that you have submitted incomplete or fraudulent information, or if the tax figures you have calculated do not match with theirs, while filing your returns.
  • Brits Face 2008 Tax Haven Government Pressure  By : Roger Munns
    Britons thinking of moving to Andorra or Monaco for tax feee living will find their government putting new hurdles in their way.
  • Tax Services Offered Online  By : Jim Brown
    With the advancement of computer technologies, taxpayers no longer have to leave their home to get advice on filing Federal and State tax returns.
  • Tax Services Offered Online  By : Jim Brown
    With the advancement of computer technologies, taxpayers no longer have to leave their home to get advice on filing Federal and State tax returns.
  • Can The Creditors Take Your Tax Refund?  By :
    Tax refunds can be such a good thing but not when it is taken from you so quickly.
  • Filing Taxes Online - The Easy Way to File Taxes  By : Hernando Quevedo
    By choosing to file taxes online, people not only had reduced the burden of filing taxes but had got more accurate returns. Millions of taxpayers are now filing their taxes online because of its easiness and their advantages over the conventional paper filing, so it had become more and more popular.
  • The Economics of Vice Tax  By : Jonathon Hardcastle
    A vice tax is an indirect form of taxation applicable to sold called vice goods like alcohol, tobacco and to a certain extent gasoline.
  • Looking For The Best Charity Car Donation Program?  By : Helen Hecker
    In the new tax law, regarding the fair market value section, there are some exceptions, for example, you can base your deduction on the fair market value of the car or vehicle if the charity sells it to someone in need at a discounted price or if the charity uses the car as part of its charitable plan instead of selling it.
  • Why Pay To Do Your Taxes When You Can Do It Online For Free?  By : Dalton Dewar. Dalton Dewar21
    With technology improving as the years go by, it’s getting very popular for people to file their taxes completely free online. Why don’t you prepare your taxes online? It will make your life easier for yourself as everything will be calculated automatically so it will take a lot of the effort and chance of error out of the equation. If you’re interested to file income taxes online then you should look into the IRS free file. This has attracted over 15 million tax payers from across the world since 2003 and is constantly growing each year.
  • Top Paye Questions Answered  By : Terry Cartwright
    Employers and particularly new employers ask a variety of questions in administering the PAYE scheme. The top questions and answers include tax codes, week 1 basis, employee or self employment status, national insurance, statutory sick pay and what happens when an employee does not provide a P45 from previous employment.
  • Andorra Beating Monaco For Tax Haven Value 2007  By : Roger Munns
    Property prices in Andorra have risen consistently over the last few years.

    But with the same tax benefits as better known Monaco, and property in Monaco at record highs, Andorra now represents the best value full status tax haven in Europe.
  • Tips So Taxi Driver Accounts Do Not Have To Be Taxing  By : Terry Cartwright
    Taxi Drivers should not to bury their heads under the dashboard when it comes to producing a set of taxi driver accounts. Producing a set of taxi accounts without the use of a taxi accountant is possible and significantly easier if a professional taxi accounting software package is used.
  • Car Donation - Secrets To Getting The Most Money Out Of Your Charity Car Donation  By : Helen Hecker
    For vehicle values of less than $500, the value of the tax deduction comes from the donor's own estimate of the car's value, even if the charity receives less money when they actually sell the car.
  • Registering Self Employment And The Self Assessment Tax Return Form  By : Terry Cartwright
    If you start a business and become self employed in the UK you are required to register the self employment within three months of starting up the new business. Having registered as self employed you will then be required to complete the inland revenue self assessment tax return form each year.
  • Explaining Income And Expenditure Sections Of The Self Assessment Tax Return  By : Terry Cartwright
    Every self employed businessman in the UK is required to complete a self assessment tax return form and requires accurate accounting records to support the tax return. These notes explain how those accounting records should be entered in the income and expenditure section of the self assessment tax return form.
  • Capital Tax Allowances And The Self Assessment Tax Return Form  By : Terry Cartwright
    To accurately complete the self assessment tax return requires the self employed businessman to understand the tax system as applied to capital allowances that can be claimed against fixed assets. A potential difficult area for the non accountant these notes explain what capital allowances are and briefly how to calculate the capital allowances which reduce the net tax payable.
  • Taxi Drivers Pay Higher Taxes Missing Out On Capital Tax Allowances  By : Terry Cartwright
    Taxi drivers who employ a taxi accountant to prepare their taxi accounts may or may not be at risk of under claiming capital tax allowances. Many drivers who prepare their own taxi driver accounts may not have the expert capital tax allowance knowledge to minimise their tax liability.
  • The UK Government is Moving Towards TAX Simplification  By : Wolfgang Jaegel
    How to simplify VAT rules and administration in the UK and the EU. HMRC is seeking views on the areas where VAT simplification is likely to be of most significance to all VAT registered business.
  • Business Sellers - Beware of Potential Changes in the Capital Gains Tax  By : Dave Kauppi
    If You are a business owner thinking of selling in the next few years, pay particular attention to the talk on capital hill about where they plan on getting the $800 Billion that will be lost by the repeal of the Alternative Minimum Tax. I think it will come right out of your pocket.
  • Use Your House as a Tax Shelter  By : Mika Hamilton
    A good tax shelter is hard to come by, but the perfect shelter may be right in front of your eyes. Most people do not realize that that the government allows us to use our homes as a way of collecting a tax deductions, credits, and benefits.
  • A UK Employee Can Claim Tax Relief Using Their Vehicle For Work  By : Terry Cartwright
    Employees in the UK who use their own vehicle for work can claim tax free expenses. If an employee keeps records of business journeys and the amounts paid by an employer the employee may also be entitled to receive mileage allowance relief in addition to those expenses for the past six years.
  • Practical Self Employed Tax Tips to Save you Money  By : Terry Cartwright
    UK Self employment carries the responsibility to sort out your own tax affairs, the first tip is to maintain good records of business income and expenses to minimise tax liability. With tax rates of up to 40%, tax is an essential area to achieve a degree of competence. Small Business Accounting Software and Payroll Software templates can ease the record keeping.
  • Save Money With Vat Schemes and the Vat Threshold Knowledge Base  By : Terry Cartwright
    Value added tax is a tax payable by any taxable person or business on sales income unless exempted or zero rated when the annual level of sales reaches the vat threshold limit, raised to 64,000 pounds p.a. from 1st April 2007. Register for vat when the vat threshold is reached to enable vat input tax to be reclaimed and minimise vat liability with a vat scheme.
  • Car Donation - Get The Facts First Before You Donate A Car  By : Helen Hecker
    Look around the yard, do you have an old car you want to or should get rid of? Is the car just taking up precious space and slowly deteriorating from lack of maintenance and proper care because you don't need it?
  • How To Keep Accurate Corporation Tax Records  By : Terry Cartwright
    Corporation Tax is a tax on company taxable income or profits. A company being any limited company whether by shares or guarantee, members clubs and associations, trade and housing associations and co-operative groups. A company tax return consists of the completed Corporation Tax Return form CT600 and the annual financial accounts and statements which support the tax calculation.
  • Tax Information and Help  By : Ryan Machara
    If you're like millions of other Americans who are puzzled by tax laws, don't worry, there is help. And help doesn't have to cost a small fortune. In fact, there are organizations designed to offer tax help to low to moderate income people who are unable to prepare and file their own tax returns.
  • 9 Reasons To Buy Turbo Tax Premier 2007  By : Don Alexander
    In taxes you want deductions, deductions, deductions. H&R Block, God bless em, is all about your money, money, money. I lost thousands of dollars using H&R Block, however, due to the Turbo Tax Premier Software I was able to get almost all of it back. Not all of it, but close to it. You see, H&R block told me I couldn't claim my...
  • Car Donation - What You Should Know About Charitable Car Donation  By : Helen Hecker
    Don't let your unused vehicle go to waste just sitting around gathering rust. Get a nice tax deduction; it may be more than you think with the new tax law.
  • Tax Benefits of Student Loans  By : Peter Kenny
    A brief discussion of some of the tax deductions that student loan borrowers may be eligible for, and the criteria required.
  • Taxes And The Home Business  By : Obinna Heche
    Just because you work at home does not mean you are not subject to the same taxes as any other business venture.
  • Keeping Records Of Your Work From Home Business  By : Obinna Heche
    When you are working from home, there are several things that you should always be doing. One of these things is to make sure you are keeping the right records for your business.
  • Car Donation - What You Must Know About Choosing The Best Charity Car Donation Program  By : Helen Hecker
    Today in the US it's possible to donate a vehicle (usually a car, but it can be a truck, boat or any other type of transportation) to certain charities, and in return be able to claim a tax deduction on your income tax return.
  • For Business Tax Return First Time Filers  By : Jim Brown
    It is the first year of your business and that time of year has come for you to file your business tax return.
  • British Tory Tax Plans Could Hit Tax Havens  By : Roger Munns
    The British Conservative Party is producing policy statements to help them win the next Geneal Election.

    Their plan to reform taxation and abolish inheritance tax could affect the European tax havens of Monaco and Andorra.
  • Andorra Opens The Door For More Tax Exiles  By : Roger Munns
    Tax free Andorra has seen a sharp rise in residency applications over the last two years as rival tax haven Monaco's property prices have become among the most expensive in Europe.

    The Andorra authorities have responded by more than doubling the residency application quotas allowed in any one year.
  • New Tax For Monaco  By : Roger Munns
    For a tax haven, it's a surprise move - Monaco has compiled and released her first ever GDP figures.

    It's part of a move to play a bigger role at the UN.
  • Andorra Opens Door For More Tax Exiles  By : Roger Munns
    European tax haven Andorra has seen a sharp rise in residency applications over the last two years as rival tax haven Monaco's property prices have become among the most expensive in Europe.

    The Andorra authorities have responded by more than doubling the residency application quotas allowed in any one year.
  • Andorra Best Value Tax Haven In Europe  By : Roger Munns
    Andorra property prices have risen consistently over the last few years.

    But with the same tax benefits as better known Monaco, and property in Monaco at record highs, Andorra now represents the best value full status tax haven in Europe.
  • New Tax For Andorra  By : Roger Munns
    Despite being one of the top European tax havens, Andorra is introducing Capital Gains Tax for the first time to fund infrastructure improvements.
  • Andorra Tax Haven Invites More Residency Applications  By : Roger Munns
    Andorra has seen a sharp rise in residency applications over the last two years as rival tax haven Monaco's property prices have become among the most expensive in Europe.

    The Andorra authorities have responded by more than doubling the residency application quotas allowed in any one year.
  • Top Tax Haven Releases First Ever GDP Figures  By : Roger Munns
    In a surprise move for a tax haven, Monaco has compiled and released her first ever GDP figures.

    It's part of a move to play a bigger role in world politics.
  • Global Warming Puts Heat On Tax Haven Andorra Economy For 2007  By : Roger Munns
    Ski resorts across Europe are having to face up to a future of shorter seasons if global warming predictions are correct.

    Andorra is looking to diversify to protect her economy from the environmental fallout.
  • Tax Haven Magnet For Rich Brits In 2007  By : Roger Munns
    Increased taxes in the UK has seen the number of Britons moving to Monaco increase significantly in the last two years.

    The new arrivals have had an impact on the property market, with sharp price rises in recent months.
  • Andorra Tax Haven Introduces Capital Gains Tax  By : Roger Munns
    In a surprise move, European tax haven Andorra has introduced Capital Gains Tax.

    An Andorra travel guide suggests that the move will hardly affect new residents, and that Andorra remains the best value for money tax haven in Europe both for property and residency.
  • Free Tax Help - How To Find It  By : andrew chin
    The best sources for free tax help
  • Online Tax Help: Making The Best Of It!  By : andrew chin
    Insiders Tax saving tips and tricks to save you money
  • How About Avoiding IRS Penalties?  By : Kip Goldhammer
    Late Filing of Returns - Most taxpayers have to pay fines for filing in their returns late. Even a delay of one day after that would attract the IRS penalty for late filing. Late Tax Payment - Some taxpayers defer on paying the taxes even after they have filed their returns. Paying the dues late also attracts penalties. Penalties are quite high. You might end up paying 20% interest.
  • Self-Employment Tax  By : Hans Hasselfors
    This article addresses some of the key issues regarding self-employment tax. A careful reading of this material could make a big difference in how you think about self-employment tax.
  • Social Security Tax  By : Hans Hasselfors
    You should be able to find several indispensable facts about social security tax in the following paragraphs. If there's at least one fact you didn't know before, imagine the difference it might make.
  • Income Tax Refunds  By : Hans Hasselfors
    Are you looking for some inside information on income tax refund? Here's an up-to-date report from income tax refund experts who should know.
  • Tax fraud and Internal Revenue Service (IRS) Tools  By : Hans Hasselfors
    What is tax fraud, and how does our government control it? That's a really big question to answer, so let's break it apart and answer it in two different paragraphs. Tax fraud is the intentional avoidance of tax due by a taxpayer, corporation, or other legal entity. There is a vast difference between the opportunity to minimize your tax liability and the direct avoidance of any responsibility.
  • British Tory Tax Plans Could Hit Tax Havens  By : Roger Munns
    The British Conservative Party is producing policy statements to help them win the next Geneal Election.

    Their plan to reform taxation and abolish inheritance tax could affect the European tax havens of Monaco and Andorra.
  • Intellectual Property And Estate Taxes  By : Kris Koonar
    A person's intellectual property, especially copyrights, make a lot of difference while estimating the estate taxes. It is necessary to know the value of all the assets including the intellectual property to be able to find out the value of the estate.
  • Business Succession And Estate Tax Planning Strategies  By : Kris Koonar
    According to a market survey, 25 percent of the family business shareholders who are senior citizens have not thought of any estate succession planning other than writing a will.
  • Understanding The Need For Proper Estate Tax Planning  By : Kris Koonar
    Estate tax planning is essential if you want to preserve your wealth for the coming generations. In order to start planning, you need to know the potential estate tax liability.
  • Estate Planning Tax Tips For Heirs Of The Deceased  By : Kris Koonar
    The right time to planning estates is when alive, but unfortunately, this cannot always be done. This is when beneficiaries end up owning large estates and with huge taxes to pay.
  • Using Trust As An Estate Planning Tool  By : Kris Koonar
    In many states, like California for example, a living trust, in most cases, would not require judicial intervention, better known as probate. This will saves you from increased costs that are incurred due to legalities.
  • Tips On Easy Estate Planning  By : Kris Koonar
    Estate planning is largely done based on the tax exemptions and taxes payable. The federal tax exemption that is granted at present is set at $2 million. This means that those who have assets below this amount are safe and can do as they please.
  • The Role Of A CPA In The Estate Planning Process  By : Kris Koonar
    CPA(Certified Public Accountant) is a designation, which is offered to qualified accountants who apparently clear the Uniform Certified Public Accountant Examination conducted by the United States. These accountants have to posses the mandatory state educational prerequisite as well as know-how. Those who clear the exam are given the CPA license.
  • Estate Tax Saving Strategies  By : Kris Koonar
    Estate tax planning should be done once you acquire a property above two million dollars, as this is the current limit up to which no estate tax is applicable. In case you avoid it then your beneficiaries or your heir may have to shell out 45 cents on every dollar of your estate value.
  • Choosing The Right Estate Plan  By : Kris Koonar
    Estate planning is very vital and there are several reasons that make it important. Generally Americans avoid making a will and don't think about making any comprehensive plan to avoid estate taxes or avoid any probate.
  • Five Essential Ways To Manage Your Taxes  By : Terry Parker
    Discusses different tips and advice for organizing and saving money on taxes.
  • Mold Remediation Gives You A Tax Deduction  By : Jim Corkern
    Get the tax break you deserve and have full rights to if your home or business has been invaded by mold that you had to have removed.
  • 5 Ways to Use Your Tax Refund to Build Your Financial Future  By : Steve Kroening
    It's easy to just go out and spend your tax refund. But you could be putting that money to good use. Here are some suggestions.
  • New Tax For Monaco  By : Roger Munns
    For a tax haven, it's a surprise move - Monaco has compiled and released her first ever GDP figures.

    It's part of a move to play a bigger role at the UN.
  • Andorra Opens The Door For More Tax Exiles  By : Roger Munns
    Tax free Andorra has seen a sharp rise in residency applications over the last two years as rival tax haven Monaco's property prices have become among the most expensive in Europe.

    The Andorra authorities have responded by more than doubling the residency application quotas allowed in any one year.
  • Is Preparing Your Tax Return Online Safe?  By : Jim Brown
    There are many ads online on companies offering to help you or prepare for you your tax return.
  • How About Avoiding IRS Penalties?  By : Kip Goldhammer
    Late Filing of Returns - Most taxpayers have to pay fines for filing in their returns late. Even a delay of one day after that would attract the IRS penalty for late filing. Late Tax Payment - Some taxpayers defer on paying the taxes even after they have filed their returns. Paying the dues late also attracts penalties. Penalties are quite high. You might end up paying 20% interest.
  • Who Should Do Your Tax Return  By : Jim Brown
    A CPA firm's services to prepare even very simple tax returns can cost much. While people should be able to prepare their own returns, a professional will be able to help you work with your return especially on new laws, credits that may be overlooked and other related matters with regards to your tax return.
  • Andorra Opens Door For More Tax Exiles  By : Roger Munns
    European tax haven Andorra has seen a sharp rise in residency applications over the last two years as rival tax haven Monaco's property prices have become among the most expensive in Europe.

    The Andorra authorities have responded by more than doubling the residency application quotas allowed in any one year.
  • New Tax For Andorra  By : Roger Munns
    Despite being one of the top European tax havens, Andorra is introducing Capital Gains Tax for the first time to fund infrastructure improvements.
  • What Are The Current Tax Rules You Must Consider For Your Estate Planning?  By : Kris Koonar
    No estate tax is payable during 2006, 2007, and 2008 on a descendants estate valued up to $2million. However, estate taxes can chew away a sizable part of the estate after death if effective estate planning steps are not taken in time.
  • Why Is Estate Tax Planning So Important?  By : Kris Koonar
    There are many reasons that make an estate plan very important. When you are unable to take decisions regarding your healthcare due to illness or accident there needs to be someone who can legally take such decisions on your behalf.
  • Understanding The Basics Of Estate Tax Planning  By : Kris Koonar
    Federal tax laws exempt property up to two million dollars from estate tax. They also allow a one million-dollar lifetime limit for gifting property without attracting any gift tax.
  • Tips To Curtail Your Estate Taxes  By : Kris Koonar
    Estate tax is levied both at the federal and state levels. The high rate of taxation takes away nearly forty-five percent of the estate of the deceased.

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