Treasury and the IRS just issued Revenue Procedure 2023-34 setting forth inflation-adjusted items for 2024 for various Internal Revenue Code provisions. In the estate, gift and generation-skipping tax arena, some of the numbers have been estimated for over a month. Now they are official.
The Unified Credit Against Estate Tax provision says the basic exclusion amount will be $13,610,000 under Section 2010. That number is the same for the generation-skipping transfer tax exemption.
The Annual Exclusion for Gifts provision says the first $18,000 of gifts to any person (other than gifts of future interests) are not includable in the total amount of taxable gifts under Section 2503. The first $185,000 of gifts to a spouse who is not a citizen of the United States is not included in total amounts of taxable gifts under Sections 2503 and 2523(i)(2).
To get into the top income tax bracket of 37%: (1) a married people filing jointly has to have $731,200 in adjusted gross income; (2) heads of households need $609,350; (3) unmarried individuals need $609,350; (4) married individuals filing separately need $365,600; and (5) estates and trusts need $15,200.
For capital gains, the maximum zero rate amounts and maximum 15% rate amounts are: (1) for married individuals filing jointly, $94,050 for the maximum zero rate and $583,750 for the 15% rate; (2) married individuals filing separately need $47,025 for the zero rate and $291,850 for the 15% rate, (3) heads of households need $63,000 and $551,350, respectively; (4) all other individuals need $47,025 and $518,900 respectively; and (5) estates and trusts need $3150 and $15,450, respectively.
The standard deduction: (1) for married individuals filing jointly is $29,200; (2) for heads of households is $21,900; (3) for unmarried individuals is $14,600; and (4) for married individuals filing separately is $14,600.
Finally, for qualified business income threshold and phaseouts, the numbers are: (1) married individuals filing jointly $383,900 and $483,900 respectively; (2) married individuals filing separately $191,950 and $241,950, respectively; and (3) all other returns $191,950 and $241,950, respectively.
If you would like the Rev.Proc. please let us know and we can email it to you.