Inheritance taxes are imposed only by the state governments.Group of answer choicesTrueFalse

The statement "Inheritance taxes are imposed only by the state governments" is False.

Explanation:

Inheritance taxes (also known as estate taxes) can be levied by both state and federal governments. While some states impose their own inheritance taxes, the federal government also has estate tax provisions.

1. Federal Estate Tax: This tax is applied to the net value of an individual's estate upon their death, potentially affecting the total assets left for heirs.

2. State Inheritance Taxes: Certain states may impose inheritance taxes on the beneficiaries receiving the assets. The rate and amount can vary significantly from one state to another.

Thus, it is inaccurate to say that only state governments impose inheritance taxes.