How Estate Taxes Changed In 2019 Compared To 2018

[Longman & Van Grack LLC]

Effective tax planning can help you achieve your financial goals but you need to review your tax strategy every now and then to keep yourself updated with the latest updates in the tax laws. Below we have penned down the tax changes that were brand new in 2019.

We witnessed quite a few changes in the 2019 estate tax planning as compared to 2018. The estate tax is imposed on your total assets after you die. However, an amount of your assets worth is exempted from estate tax through the federal gift and estate tax lifetime exclusion. This amount was increased to $11.4 million in 2019 from $11.18 million in 2018. This implies that if everything you own has a value of less than $11.4 million after your death, it will not be affected by estate taxes.

Gift Tax Implications

There are also gift tax rules mentioned in the federal tax under which all your gifts are subject to gift tax implications. However, after 2019, all your gifts under $15,000 have no tax implications. Moreover, you can give unlimited gifts to your spouse as well as charities. You can know more about tax rules through the top tax planning Rockville and keep your assets tax free with our effective planning strategy.

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