During this tax season very few, if any, farms or small businesses will be subject to federal estate taxes. Traditionally death and taxes have been linked together in the form of estate taxes. When President Trump signed tax reform in late 2017 he said the legislation make the vast majority of family farms and small business exempt from estate tax.
However, one expert says under the old law very few people were subject to the estate tax. Iowa State University tax expert Christine Tigren said under the previous law you could die owning property up to $5.6 million and still not owe federal estate tax. As far as the updated law is concerned for your 2018 returns.
“You can die with $11.2 million in property and your estate will not owe any estate tax on that amount.”
“It’s pretty much going to eliminate the concern about estate tax,” Tigren added.
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