In 2025, the gift and estate tax basic exclusion amount and the generation-skipping transfer (GST) exemption will be cut nearly by half. Barring congressional action, the exemption amount will return to about $6.8 million, adjusted for inflation, in 2026. Similarly, the current 40% maximum gift and estate tax rate will increase to 45%.1
For high-net worth individuals, this could influence wealth transfer strategies. Although this sunset is coming, the good news is that it's still a few years away.
We, along with your estate attorney, can help you with your estate strategy—regardless of whether Congress takes action in time. Now may be an excellent time to get together and start thinking about your post-2025 strategy. I look forward to your call.
1. USBank.com, 2023
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