Wealthy Ease Back on Rush to Use Expiring Estate Tax Break

Nov. 12, 2024, 9:40 AM UTC

The pressure on wealthy Americans to use their elevated estate tax exemption has eased as former President Donald Trump heads back to the White House.

The current lifetime estate and gift tax exemption, at $13.99 million for 2025, is set to fall by about half at the end of next year.

Republicans doubled the exemption amount as part of their 2017 tax overhaul. Individuals who have more than the exemption amount in gifts or in their estate face a 40% transfer tax. High-net-worth people give money to heirs, trusts, or charity to try to avoid paying that tax.

Congress is ...

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