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ARTICLE · 01 FEBRUARY 2021

The Exemption Also Rises (But Could Set Soon)

Ward and Smith, P.A
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The amount that you can give to your children during life or leave to them after death estate tax-free currently is at a historically high level.

United StatesTax
John R. Sloan
John R. Sloan
Thomas J. Zamadics, Jr.
Thomas J. Zamadics, Jr.

The amount that you can give to your children during life or leave to them after death estate tax-free currently is at a historically high level. 

As of January 1, 2021, an individual can give or leave $11.7 million and a married couple can give or leave $23.4 million free of federal gift or estate tax.  Both current law and the 2020 elections, however, put these historically high amounts at risk of substantial reduction, possibly as soon as this year, and could result in more of your assets being subject to a 40% estate tax at death.  If your financial circumstances warrant the use of this exemption to avoid this egregious tax, then you should consider taking appropriate action now.

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