The Sunset of the Gift and Estate Tax Exemption is Around the Corner

When the Tax Cuts and Jobs Act (TCJA) was passed in late 2017, the “sunsetting” of many of the provisions in 2026 seemed far away. Among those of benefit to high-net-worth individuals was the increasing of the gift, estate and generation-skipping transfer tax exemptions to $11.18 million per person ($22.36 million for married couples) for 2018. The tax exemptions are indexed annually for inflation through December 31, 2025.  For those who can afford to use the higher exemption, learn what’s at stake and what needs to happen before the exemption is significantly reduced.