As 2021 begins, for now (although this may change, as described below) the current gift and estate tax exclusions, GST exemption amount, tax rates, and annual gift tax exclusion are as follows:
Federal
Gift and Estate Tax Exclusions
The gift and estate tax exclusion amount (also called the “applicable exclusion amount”) increased slightly from $11.58 million (in 2020) to $11.7 million (in 2021) per individual (or $23.4 million for a married couple).1 Estates of decedents survived by a spouse may still elect to pass any of the decedent’s unused applicable exclusion amount to the surviving spouse by an election made on a timely filed estate tax return for the decedent with a surviving spouse (also known as “portability”).