The new law takes effect for tax years beginning after 2017 and most provisions dealing with individual tax reform and transfer taxes are effective for taxable years 2018 – 2025. The Basic Exclusion Amount doubled from 5 million to 10 million (indexed for inflation). The estimated amount for 2018 is around $11.18 million, and the law doubles GST exemption. Expanded application of 529 accounts now includes tuition at public, private or religious elementary or secondary schools, but is limited to $10,000 per student per taxable year.
For more information on how the new tax law impacts other areas of Estate Planning, please contact Michael Witzke at 248-593-2948 or email@example.com.