Trump's Estate Tax

Posted on: August 16, 2018
Tags: Wiils, Trusts, Estate Planning, Cincinnati, Ohio, Kentucky, Wealth Management

On December 20th, 2017 Congress passed the "Tax Cuts and Jobs Act", which become law on January 1, 2018.

The new exemption more than doubled the previous year’s estate tax exemption of $5,490,000 per individual to $11,180,000. For married couples, the estate tax exemption also doubled when adjusted for inflation, from $10,980,000 to $22,360,000.  These exemptions are scheduled to increase with inflation each year until they peak in 2025. In 2026, the estate tax exemption levels will be cut in half, or reverted to the 2017 schedule after adjustment for inflation.  Based on the figures when can assume that the estate tax exemption in 2026 will be roughly $6,000,000 per individual or $12,000,000 per married couple.