A federal tax credit that may be used in certain cases to offset the gift tax,...
A federal tax credit that may be applied against the gift tax, the estate tax, and sometimes the Generation-Skipping Transfer tax.
This is an estate and gift tax term. It is the level of assets that can be transferred either during lifetime or at death without creating a gift or estate tax.
The unified "credit" is a credit that may be applied to a federal gift or estate tax liability. dollar amount deducted from a "tentative tax." In 2004 the unified tax credit amount is $555,580.00.
The credit that can be applied against the tentative gift or estate tax; the credit in 1999 is $211,300 which absorbs all the tentative tax on taxable transfers up to $650,000. The amount of the credit and the amount of the tentative tax absorbed rises and then levels off at $345,800 and $1,000,000, respectively, in 2006 and beyond.
Tax credit that can be used to reduce the amount of the federal estate or gift tax.
Former term used to describe the combined estate and gift tax credit that permits the transfer of assets free of tax either during lifetime or at death. In accordance with the Taxpayer Relief Act of 1997, the Applicable Credit Amount, and the corresponding Exemption Amount, gradually increase, so that by the year 2006, the first $1 million of assets transferred either during lifetime or at death will be exempt from tax. See also Applicable Credit Amount.
The unified "credit" is a dollar amount deducted from a "tentative tax." The unified tax credit amount is now $192,800. The financial impact of the unified credit is that, in most instances, an estate of up to $600,000 will not be subject to estate or gift tax. The unified credit, as altered in the 1997 tax act, is scheduled to increase to $1,000,000 over the next few years.
A federal tax credit that reduces tax liability, dollar for dollar, on lifetime gifts and asset transfers at death.