IRS Announces 2019 Estate and Gift Tax Exclusion Amount

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By: Melanie E. Cuddyre, Esq. 

The Internal Revenue Service (the “IRS”) recently announced the 2019 estate and gift tax exclusion amount. These amounts are adjusted for inflation on an annual basis. The exclusion amounts have increased from $11.18 million in 2018 to $11.4 million per person in 2019. With proper planning or use of portability, this means that a married couple has a combined exclusion amount of $22.8 million.

The estate and gift tax rate remains the same in 2019 at a rate of 40%, and the gift tax annual exclusion remains at $15,000 per person. Gifts of a present interest up to $15,000 can be made to as many people as the donor chooses without reducing the donor’s $11.4 million lifetime exclusion amount.

While the exclusion amount is slated to be drastically reduced on January 1, 2026, individuals should consider taking advantage now of lifetime gifting strategies to lessen, or even eliminate, their federal estate and gift tax liability.

If you have any questions regarding estate and gift tax matters, please contact Melanie E. Cuddyre, an Associate in Leech Tishman’s Estates & Trusts Practice Group in the firm’s Pittsburgh, PA office. Melanie can be reached at 412.261.1600 or mcuddyre@leechtishman.com. 

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Leech Tishman Fuscaldo & Lampl is a full-service law firm dedicated to assisting individuals, businesses, and institutions. Leech Tishman offers legal services in alternative dispute resolution, aviation & aerospace, bankruptcy & creditors’ rights, construction, corporate, employee benefits, employment, energy, environmental, estates & trusts, family law, government relations, immigration, insurance coverage & corporate risk mitigation, intellectual property, internal investigations, international legal matters, litigation, real estate, and taxation. Headquartered in Pittsburgh, PA, Leech Tishman also has offices in Chicago, Lakewood Ranch, FL, Los Angeles, New York and Wilmington, DE.