The IRS has announced the 2023 Gift & Estate Tax Limitations.
Gift Tax: In 2023 an individual may give $17,000 to another person ($34,000 per couple) without needing to file a gift tax return. This is an increase of $1,000 from 2016.
Estate Tax: The Estate Tax is still 40% however the exemption increases to $12.92 million (up from $12.06 million in 2022).
Keep in mind the the current Estate Tax exemption schedule is set to sunset in 2026; in 2026 the Estate Tax exemption will be cut in half. Subsequently, if your current net worth is in excess of $5 million ($10 million for couples) we recommend scheduling an appointment to review your estate plan. There are strategies which can significantly reduce the tax due on your estate if properly executed with professional and legal guidance.