The American Taxpayer Relief Act of 2012 (the "Act") made the following permanent: (1) the reunification of the estate and gift tax regimes, (2) the $5 million estate, gift and generation-skipping transfer ("GST") tax exemptions, as increased for inflation (as discussed below), and (3) portability of the federal estate tax exemption between spouses at death.
Tax Exemption Inflation Increases for 2017
- In 2017, there is a $5,490,000 federal estate tax exemption (increased from $5,450,000 in 2016) and a 40% top federal estate tax rate.
- In 2017, there is a $5,490,000 GST tax exemption (increased from $5,450,000 in 2016) and a 40% top federal GST tax rate.
- In 2017, the lifetime gift tax exemption is $5,490,000 (increased from $5,450,000 in 2016) and a 40% top federal gift tax rate.
- In 2017, the annual gift tax exclusion is $14,000 (no increase from 2016).
Arthur H. Geffen
Attorney & Counselor at Law
1620 East Beltline Road
Carrollton, TX 75006
972-242-8887
972-446-7976 fax
https://www.dallasestateattorney.com
Business Organizations, Tax, Estates & Trusts, Probate
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