The NEW 2024 Exemption Amounts for Federal Estate Taxation and the 2024 Annual Gift Tax Exclusion

The annual Gift Tax Exclusion for 2024 is now $18,000.00 per donor (the person making the gift) to ANY individual for the within calendar year; a married couple can make an annual gift of $36,000.00 per year. This amount is subject to a formulae which incorporates the status of the economy, i.e. inflation among other criteria; and will highly probably change again commencing on January 1st for the next calendar year. This gift requires no I.R.S. filings or need for attorney estate planners aid.

Also, the Federal Lifetime exemption has increased from $12,970.00 to $13,610.00 per individual for the same calendar year of 2024, also due to the calculations being a result of the formulae incorporated into the present law. This number will again be reevaluated January 1, 2025 for the last time but then, the entire present estate calculations, exemptions and law in its entirety will expire (“sunset”) in December 2025 and return to the Obama legislation Exemption amounts as stated in the 2018 estate tax laws.

Tarta Law Firm NJSteven 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.

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