Connecticut last month changed its estate-tax law, so we recommend that you check with your advisor and attorney to see if the new limits may affect you and your family.
Here are the details of the May 31 changes, courtesy of our friends at the law firm Czepiga Daly Pope & Perry LLC:
- For 2018, the state estate-tax exemption is $2.6 million.
- The exemption rises in subsequent years, to $3.6 million in 2019, $5.1 million in 2020, $7.1 million in 2021 and $9.1 million in 2022.
- In 2023, the state estate-tax exemption will match the federal limit, which is currently set at $11.18 million – a figure that’s indexed to inflation and is likely to rise.
- And then in 2026 it will revert to 2017 federal estate-tax levels, or $5.5 million.
Clearly the shifting amounts – and the boomerang back to 2017 levels in 2026 – can complicate tax and estate planning.