Inheritance tax is paid on property passed on from a deceased person to those who are to inherit it. The term may be applied to two different taxes: (1) a tax on the total property before it is divided, and (2) a tax on each of the distributed portions after they have been given to the heirs. Technically, these two taxes should be called estate taxes and inheritance taxes, respectively. The United States government levies only an estate tax. Some state governments levy both inheritance and estate taxes.