Legal Blog

Increased Federal Gift and Estate Tax Exclusions/Exemptions for 2014

by Gal N. Kaufman Using the Consumer Price Index data for the most recent month and the preceding 11 months, it is projected that some of the most important Federal gift and estate tax exclusions and exemptions will increase in 2014 as compared to 2013. Unified estate and gift tax exclusion amount. For gifts made and estates of decedents dying in 2014, the exclusion amount will be $5,340,000 per person (or $10,680,000 per married couple), up from $5,250,000 per person ($10,500,000 per married couple) in 2013. Generation-skipping transfer (GST) tax exemption. The exemption from GST tax will be $5,340,000 for transfers in 2014 (up from $5,250,000 for transfers in 2013).  The GST exemption is, generally, the amount that can be passed to grandchildren or more remote descendants without imposition of the GST tax. Gift tax annual exclusion. For gifts made in 2014, the gift tax annual exclusion will be $14,000 (same as for gifts made in 2013). The annual exclusion is the amount that may be gifted each year (so long as the gift is a so-called “present interest”) to another person (e.g., a child, grandchild, niece, nephew, etc.) without utilizing the donor’s lifetime gift/estate tax exclusion amount (or, if that exclusion amount has been fully exhausted, without imposition of gift tax). Increased annual exclusion for gifts to non-citizen spouses. For gifts made in 2014, the annual exclusion for gifts to non-citizen spouses will be $145,000 (up from $143,000 for 2013). Please contact us if you have any questions concerning any of the above.

Gal N. Kaufman is a principal attorney in Offit Kurman’s Washington office. Mr. Kaufman has nearly twenty years experience as a trusts and estates attorney, providing client services in the areas of estate planning and estate and trust administration.  He can be reached at or 240.507.1709.