There are a few changes for 2019. Going into 2018, there were many changes because of a new tax law, commonly known as the Tax Cuts and Jobs Act, which impacted both the estate tax and the income tax. However, there are few changes heading into 2019. It appears things are relatively stable, tax-wise, at least for now. Of course, the estate and personal income tax portions of the Tax Cuts and Jobs Act still are set to sunset, but not until the end of 2025.
For 2019, the exclusion increased nearly 2%, from $11.18 million in 2018 to $11.4 million in 2019. That’s an increase of $220,000. Of course, the new amount is for estate and gift, as well as GST purposes. The present interest annual exclusion for gifts remains unchanged at $15,000 for 2019. Typically, that exclusion only adjusts every few years because it only adjusts in $1,000 increments.