Hudson Valley
Estate Planning
Secure Your Legend
One Big, Beautiful Estate Tax Exemption
With the enactment of the One Big Beautiful Bill, we now have certainty regarding the federal estate tax exemption for the remainder of the Trump Administration. Beginning in tax year 2026, the amount U.S. residents can give to anyone besides spouses and charities either during life or at death will be $15 million. This exemption will be subject to inflation adjustment in future tax years and not subject to automatic sunset. The new law also retains portability of the exemption between spouses, effectively giving married couples up to $30 million in assets to pass to their children free from federal estate tax.
What’s the Catch?
- If Democrats take control of Congress and the presidency in 2029 or beyond, they will have the power to alter federal estate tax laws just as easily as the Republicans have in 2017 and 2025.
- New York State continues to enforce its own estate tax. Under current law, if your estate is larger than $7.518 million at your time of death, your entire estate will generally be subject to a New York State estate tax of 16%.
