A deduction is an amount allowed to taxpayers under the Internal Revenue Code as an offset against gross income or adjusted gross income.
The Marital Deduction is a provision in U.S. federal estate and gift tax laws allowing a surviving spouse to inherit the decedent's estate or receive gifts from the spouse tax-free, thereby deferring estate taxes until the property is transferred to the next generation.
Taxable estate refers to the portion of a deceased person's estate that remains after deducting any allowable marital deductions, charitable contributions, and other adjustments from the adjusted gross estate. This amount is subject to estate taxes.
