Donald Trump signed a sweeping bill on Wednesday that could let the government withhold the value of property held by deceased heirs if the estate was used to care for people with the disease.
The measure, which Trump said would help people “who have no other choice but to die,” passed the House of Representatives on a party-line vote of 217-209.
The Senate approved it in a 45-45 tie.
It will also give the Trump administration the power to seize and sell assets held by people who are not in “effective physical or mental health.”
The bill, the Trump Administration’s first major tax overhaul, is expected to cost about $1.5 billion over 10 years.
The White House and the Treasury Department have been working on the bill for weeks.
Trump had threatened to veto the legislation if it did not pass.
The Trump administration’s plan to use the estate tax to pay for a Trump University-style tuition-free education is likely to be a major issue in the 2018 midterms.
Trump is expected at a rally in North Carolina on Friday to call on Republicans to pass the tax overhaul.
Trump said the tax plan could save the federal government more than $1 trillion.