Wednesday, September 27, 2017

2017 Estate And Gift Tax Limits: The $11 Million Tax Break

https://www.forbes.com/sites/ashleaebeling/2016/10/25/irs-announces-2017-estate-and-gift-tax-limits-the-11-million-tax-break/#784fc8013b70

Ashlea Ebeling
Oct. 25, 1016

For 2017, the estate and gift tax exemption is $5.49 million per individual, up from $5.45 million in 2016. That means an individual can leave $5.49 million to heirs and pay no federal estate or gift tax. A married couple will be able to shield just shy of $11 million ($10.98 million) from federal estate and gift taxes. The annual gift exclusion remains at $14,000 for 2017.

The federal estate and gift tax exemptions rise with inflation, and the Internal Revenue Service announced the new numbers here. Forbes' Kelly Phillips Erb has all the details on 2017 income tax rates here.

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If you want to make gifts and not have to bother to keep track for gift tax purposes, you can make gifts for medical, dental, and tuition expenses for as many relatives (or friends) as you’d like so long as you pay the provider directly. These gifts don’t count towards any of the limits.

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