Winning at Tax Reform

Winning with Tax Reform – Why You Need to Reevaluate Your Estate Plan in 2018

Exemption for Estate Planning is Ripe for the Picking

The Tax Cuts and Jobs Act of 2017 made one significant change for estate planning: it doubled the estate tax exemption through 2026.

This change is unique because it has resulted in the highest estate/gift exemption ever allowed (basically double of what we had in 2017), but there is a catch – you have to use it in the next eight years, as it goes away in 2026.

Therefore, now is the ideal time to reevaluate your estate plan, or if you don’t have one, to get to work on it.

Use It, Lose It, or Die With It

This exemption is truly a “use it, lose it, or die with it” proposition.  For example, a couple with a net worth today of $8M (married filing jointly) would not have any estate tax liability during the next eight years according to the Tax Reform legislation passed in December.  If we can assume modest growth of their estate (6%) and the exemption indexed for inflation, they would have an estate tax liability once the legislation sunsets at the end of 2025.

This is a unique opportunity to use what has been given for a short period of time, and it’s recommended that anyone with, or considering, an estate plan double down on these tax advantages while they can.

K·Coe Isom is ingrained in the intricacies of strategic estate planning and gifting in conjunction with building historic legacies. Contact us today to establish an advantageous estate plan for your business and family.

Jim Rein
Jim Rein designs sophisticated estate plans for independent, forward-thinking business owners who seek to transform what they've built into a legacy that lives on. Whether their focus lies in farming, ranching, equipment manufacturing, healthcare, or commercial real estate, Jim draws on his 19 years of experience to proactively devise the best scenarios for achieving people's goals for the preservation and distribution of their wealth.
Winning with Tax Reform – Why You Need to Reevaluate Your Estate Plan in 2018

Exemption for Estate Planning is Ripe for the Picking The Tax Cuts and Jobs Act of 2017 made one significant change for estate planning: it doubled t...

Double Down Now with Estate Planning

New Tax Act Fortifies Estate and Legacy Opportunities The time to ‘double down’ with an estate plan is now. Transferring assets to a trust or ...

Preserve Farm Program Payments When Planning for Succession

With razor-thin profit margins, it’s more important than ever to maximize farm income from all sources. When planning for the succession of ownershi...


One thought on “Winning with Tax Reform – Why You Need to Reevaluate Your Estate Plan in 2018”

  1. Karin Hakanson

    Please contact me about an upcoming sale of a property which I would like to donate to a charity. Chris Bonacorsi is my CPA.

    Reply

Leave a Reply

Your email address will not be published.

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

*