2016 ALERT: GIFT, ESTATE AND TRANSFER TAX AMOUNTS
The IRS recently announced the inflation-adjusted items for 2016, including gift, estate, and generation-skipping transfer tax amounts. The following adjustments should be considered in your estate and gift planning:
• The gift tax annual exclusion for 2016 remains $14,000 (and is increased to $148,000 for
gifts to a non-U.S. citizen spouse). Married couples who elect gift splitting may give
$28,000 per donee in 2016.
• The gift, estate and generation-skipping transfer tax exemption amount is increased to
$5,450,000 in 2016.
• Direct payments of qualified tuition and medical expenses remain gift-tax free in
unlimited amounts.
Steven W. Tarta, Esq. brings more than 45 years of professional experience to his practice, with a sophisticated focus on Estate Tax Planning, Living Trusts and Elder Law.