Here we have provided a “cheat sheet” to keep in mind for 2024 federal estate, gift, and GST exemptions, as well as exemptions and inheritance tax consequences in states that impose their own estate, gift, or inheritance tax.
Federal Estate, Gift, and GST Tax
Below is a summary of the current federal estate, gift, and generation-skipping transfer tax provisions for 2024. Note that, under current law, the increases in exemption amounts that began in 2018 are set to expire in 2026, at which point they will revert back to the pre-2018 numbers (i.e., expected to be ~$7M per person, indexed for inflation).
Gift Tax, Generation Skipping Transfer Tax, and Estate Tax Exemptions (Unified)
- Single: $13,610,000
- Married: $27,220,000
- Rate: 40%
- Gift and GST Tax Annual Exclusion Amount: $18,000 per donee
- Gift Tax Exclusions for medical and educational expenses paid directly to provider
State Estate, Inheritance, and Gift Tax
States vary in whether and how they tax transfers of property. A gift tax is imposed on property transferred while the donor is still alive. Estate taxes and inheritance taxes are imposed on the transfers of property after the decedent’s death. Below is a summary of the states that as of 2024 still impose estate, gift, or inheritance tax:
| STATE | GIFT TAX | ESTATE TAX | INHERITANCE TAX | RATE | EXEMPTION AMOUNT |
| Connecticut | Yes | Yes | No | 12% | $13,610,000[1] |
| Hawaii | No | Yes | No | 10-20% | $5,490,000 |
| Illinois | No | Yes | No | 0.8-16% | $4,000,000 |
| Iowa | No | No | Yes, if inheritor is someone other than decedent’s spouse, parents, grandparents, great grandparents, children, stepchildren, grandchildren, and great grandchildren[2] | 1-3% | $25,000 |
| Kentucky | No | No | Yes, if inheritor is someone other than decedent’s spouse, parents, children, grandchildren, siblings and half-siblings | 4-16% (depending on inheritor’s relationship with decedent) | $1,000 or $500 (depending on inheritor’s relationship with decedent) |
| Maine | No | Yes | No | 8-12% | $6,410,000 |
| Maryland | No | Yes | Yes, if inheritor is someone other than decedent’s spouse, descendant, descendant’s spouse, ancestor, stepchild, stepparent, or sibling | Estate tax:
0.8-16% Inheritance tax: 10% |
Estate: $5,000,000 Inheritance: $1,000 |
| Massachusetts | No | Yes | No | 0.8-16% | $2,000,000 |
| Minnesota | No | Yes | No | 13-16% | $3,000,000 |
| Nebraska | No | No | Yes, if inheritor is someone other than decedent’s spouse | 1%, 11% or 15% (depending on inheritor’s relationship with decedent) | $100,000, $40,000 or $25,000 (depending on inheritor’s relationship with decedent) |
| New Jersey | No | No | Yes, if inheritor is someone other than decedent’s spouse, ancestor, descendant, or stepchild | 11-16% | $25,000 |
| New York | No[3] | Yes | No | 3.06-16% | $6,940,000[4] |
| Oregon | No | Yes | No | 10-16% | $1,000,000 |
| Pennsylvania | No | No | Yes, if inheritor is someone other than decedent’s spouse, or parent (if decedent 21 or younger) | 4.5% for descendants, 12% for siblings, 15% for all others | None |
| Rhode Island | No | Yes | No | 0.8-16% | $1,744,583 |
| Vermont | No | Yes | No | 16% | $5,000,000 |
| Washington | No | Yes | No | 10-20% | $2,193,000 |
| Washington, D.C. | No | Yes | No | 11.2-16% | $4,710,000[5] |
[1] CT gift and estate tax is unified, so that lifetime gifts deplete exemption available at death. Exemption amount began matching the federal exemption starting in 2023 and will continue to do so.
[2] Iowa is planning to completely repeal the inheritance tax by 2025.
[3] However, gifts made within three years of death are pulled back into estate to calculate NYS estate tax.
[4] But subject to “NYS cliff” for taxable estates exceeding 105% of exemption amount.
[5] From 2022 onward, the exemption amount will increase annually in accordance with the cost-of-living adjustment provided in the D.C. code.
