Why 2012 is the Perfect Time to Gift
Posted Tuesday, December 4, 2012 by Lisa Benedetti
With the holiday season just around the corner, gifting is surely on everyone’s minds. For those in a position to make large gifts, 2012 is the year to do it. This is because the $5.12 million estate and gift tax exclusion amount may be reduced down to $1 million in 2013. The tax rate for any gift amount above the $1 million amount would be a progressive rate up to 55%. Additionally, the tax portability election, allowing a spouse to use their deceased spouse’s unused estate and gift tax exclusion may also be gone. This would mean that a person is entitled to a lifetime estate and gift tax exemption of only $1 million. Therefore, for all these reasons, 2012 may be the perfect year to make a large gift.
Come see one of our experienced estate planning attorneys at Pivotal Law Group, PLLC for assistance in making a gift before 2013.
For more information, please contact Emily Rao at (206) 805-1493.