How do governments assess private companies for estate tax considering they are not bought and sold and thus the shares to not have a price?

Question

Based on an discussion i had with friends, if its a large private company, but one which is not valued by the market how does the government assess it for inheritance tax purposes? cant i just sell/assess the shares for 100 dollars total even if its worth 100 million?

In: Economics

Answer 1

The company pays taxes, no the taxes, they have gives their assets and liabilities. Inheritance taxes will be based on that.