Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Level 2
posted Sep 28, 2022 9:09:57 AM

Estate planning

Once retired do you have any tips so my heirs will pay minimal taxes upon death?

1 1 316
1 Replies
Expert Alumni
Sep 28, 2022 9:39:27 AM

You are able to gift the annual exclusion to each donee. In other words, you can give each of your children $16,000 in 2022 and beyond tax free. 

 

The IRS allows a lifetime tax exemption on gifts and estates, up to a certain limit, which is adjusted yearly to keep pace with inflation. For 2022, an individual's combined lifetime exemption from federal gift or estate taxes is $12.06 million. If married, the joint exemption is $24.12 million.

 

Your annual excluded gifts do not reduce the lifetime exclusion for gifts under $16,000.