What type of taxes are imposed by governments upon a decedent's estate?

Estate taxes are levied by governments on the total value of a deceased individual's estate before it is distributed to beneficiaries. This tax is calculated based on the overall net worth of the estate, which includes all assets such as cash, real estate, stocks, and other holdings at the time of the decedent's death. The purpose of estate taxation is to generate revenue for the government and, in many jurisdictions, to help address wealth inequality by taxing larger estates at higher rates.

In contrast, the other types of taxes mentioned serve different purposes and apply under different circumstances. Income taxes pertain to earnings generated during a person's lifetime, while gift taxes relate to transfers of wealth made while individuals are still alive, and property taxes are ongoing taxes imposed on real estate ownership. Therefore, when considering taxes specifically tied to a decedent's estate after death, estate taxes are the appropriate category.