Tax Implications That May Affect
Your Estate
The amount you can pass on to your family without a significant tax burden may be significantly reduced by the end of 2025. This applies to both gifts made during your lifetime and those included in your estate.
Passed in 2017, the Tax Cuts and Jobs Act more than doubled the maximum that families can give to their beneficiaries—cumulatively during their lifetime and in their estate—without incurring considerable federal gift or estate taxes. As a result, in 2024 a single taxpayer can claim a federal estate and lifetime gift tax exemption of $13.61 million for gifts to beneficiaries, and couples can double that amount.
However, unless Congress passes new legislation, this law will sunset at the end of 2025. That means that the amount a single taxpayer can claim, cumulatively, for federal estate and lifetime gift tax may be approximately $7 million in 2026.
This may be a good time to talk to your professional advisors or contact us to discuss your options. Feel free to contact Brett Befus, Associate Vice President for Development, at (307) 766-4259 or bbefus@uwyo.edu.