IRS Announces Estate And Gift Tax Exemption Amounts For 2023. With inflation continuing to impact our economy, the IRS recently announced that they have adjusted their 2023 exemption amounts for estate and gift tax. Attorneys from our Trusts and Estates and Tax Law teams explain that the exemption for federal estate and gift taxes has risen from $12,060,000 to $12,920,000. Currently, the increased exemption is expected to expire in 2026, reverting back to $5,000,000. Annual gift tax exemptions are set to increase from $16,000 to $17,000 in 2023. The spousal exemption for estate and gift taxes remains unlimited for US citizen spouses.
If you are considering gifts as part of your estate planning and have not already made the maximum tax-exempt gifts for this year, there’s no time like the present, particularly if you are considering gifting investments like stock that are expected to increase in value over time.
If you have any questions about how this impacts you, contact our team: