They look at the
federal estate tax from perspectives of the gross estate, deductions, computing tax liability, carryover basis rules applicable to some decedents dying in 2010, and limitation on stepped-up basis.
When Congress enacted the modern
federal estate tax in 1916, (2) all but five states and the District of Columbia already had some sort of death transfer tax.
Estate tax In addition to increasing personal exemptions, Democrats will also push for a bill that some estimate will save the state $60 million in lost revenue from an increase in the assets exempt from the
federal estate tax. Maryland has its own estate tax.
Tom Hartshorne valued the real property for
federal estate tax purposes at the appraised amount of $3 million instead of the written offer amount of $6.5 million.
The current
federal estate tax exemption amount is $5,490,000 per person, or almost $11 million for a married couple.
If this election is made, the unused
federal estate tax exclusion of the deceased spouse (called the deceased spouse unused exclusion, or DSUE) can be carried over to and used by the surviving spouse.
Marital deduction: The
federal estate tax marital deduction is one of the most important estate planning tools available to a married couple.
The key unknown is
federal estate tax developments.
At this level it is estimated that only about 0.2% of all estates will owe
federal estate tax (Harris, 2013).