gift tax

2013 Estate and Gift Tax Recap, and Estates & Trusts Income Tax Rates

In Estate Planning, How Do You Choose an Executor of a Will? by casalmoreno

Tax season began on January 31.  Here is a brief recap the 2013 estate and gift tax exemptions. And the income tax rates for estates and trusts.

The estate and gift tax exemption for 2013 was $5.25 million per individual.  Portability rules applied for married couples, meaning their total exemption was $10.5 million.  If the individual was a non-resident alien, the exemption was $60,000.

The 2013 Income Tax Rates for Estates and Trusts are as follows:

Not over $2,450 15% of the taxable income
Over $2,450 but not over $5,700 $367.50 plus 25% of the excess over $2,450
Over $5,700 but not over $8,750 $1,180 plus 28% of the excess over $5,700
Over $8,750 but not over $11,950 $2,034 plus 33% of the excess over $8,750
Over $11,950 $3,090 plus 39.6% of the excess over $11,950

Tax season began on January 31.  Here is a brief recap the 2013 estate and gift tax exemptions. And the income tax rates for estates and trusts.

The exemption for 2013 was $5.25 million per individual.  Portability rules applied for married couples, meaning their total exemption was $10.5 million.  If the individual was a non-resident alien, the exemption was $60,000.

The exemption for 2014 has been increased to $5.34 per individual, and the portability rules remain in place for married couples.