The IRS released Rev. Proc. 2019-44 announcing, among other things, the amount of the annual estate and gift tax exemptions for 2020. To wit:
- The annual individual gift tax exemption remains at $15,000 per beneficiary;
- The individual lifetime gift tax exemption and the estate tax exemption increases to $11,580,000;
- The super annual exclusion for gifts made to a noncitizen spouse increases to $157,000; and
- Receipts and gifts from foreign entities and certain types of foreign trusts exceeding $16,649 in 2020 must be reported by the beneficiary, in addition to paying the corresponding income tax.
As always, if you have any questions or concerns, please call (800) 694-6604 and make an appointment to take advantage of these new limits.