Insights
We are proud to be named a West Coast Regional Leader for 2024
Maximizing Today’s Gift and Estate Tax Benefits: Time-Sensitive Strategies for 2024
ARTICLE | October 08, 2024
Authored by Vasquez + Company
The Tax Cuts and Jobs Act (TCJA) introduced significant changes to federal gift and estate tax rules, boosting the exemption to $13.61 million in 2024. However, this favorable window may close after 2025, making it a critical time for estate planning. This article explores the key elements of gift and estate taxes under current law, including annual gifts, portable exemption privileges, and IRS anti-clawback regulations. With uncertainty about future tax rules, the article provides guidance on how high-net-worth individuals can protect their wealth before potential changes take effect.
Key Points:
- Exemption Increase: The unified federal gift and estate tax exemption stands at $13.61 million for 2024, with a potential sunset of this favorable provision in 2026.
- Annual Gift Exclusion: Taxpayers can make gifts up to $18,000 per recipient in 2024 without dipping into their lifetime exemption.
- Planning Considerations: With potential changes on the horizon, individuals with large estates should consider making strategic gifts before the end of the year to minimize tax exposure.
For further details on the latest gift and estate tax rules and strategies, read the full article here.
Our firm provides the information for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. This article is not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided “as is,” with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.
Let's Talk!
Call us at +1 213.873.1700, email us at solutions@vasquezcpa.com or fill out the form below and we'll contact you to discuss your specific situation.
Vasquez + Company LLP has over 50 years of experience in performing audit, tax, accounting, and consulting services for all types of nonprofit organizations, governmental entities, and private companies. We are the largest minority-controlled accounting firm in the United States and the only one to have global operations and certified as MBE with the Supplier Clearinghouse for the Utility Supplier Diversity Program of the California Public Utilities Commission.
For more information on how Vasquez can assist you, please email solutions@vasquezcpa.com or call +1.213.873.1700.
Subscribe to receive important updates from our Insights and Resources.