Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the acf domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/470882.cloudwaysapps.com/fruuacutkb/public_html/wp-includes/functions.php on line 6121
Will the Proposed Estate Tax Exemption Affect Me? - Bradley Law Firm PLLC

Consultation Type

Estate Planning VA Disability Benefits Probate & Estate Administration Asset Protection / Medicaid Qualification Special Needs Planning Self Directed IRAs Business Law CLOSE
Skip to content
Bradley Law Firm PLLC
Schedule a Consultation
Germantown, TN 901.682.2030
  • Home
  • About
    • J. Anthony Bradley, Esq.
  • Practice Areas
    • Estate Planning
    • VA Disability Benefits
    • Probate & Estate Administration
    • Asset Protection / Medicaid Qualification
    • Special Needs Planning
    • Self Directed IRAs
    • Business Law
  • Testimonials
  • Resources
    • Client Forms
    • Blog
  • Contact

Will the Proposed Estate Tax Exemption Affect Me?

Posted on July 22, 2019 | by Anthony Bradley

You may have noticed the increased news coverage surrounding the 2020 presidential election, but have you heard about the new proposed estate tax exemption? Recently, Senator Bernie Sanders of the Democratic party introduced a bill titled “For the 99.8 Percent Act.”

This proposes a reduction of the estate tax exemption and various other limitations on popular estate planning techniques.

To help you learn more about the proposed changes and to evaluate whether you may personally be affected, let us share with you some information about the “For the 99.8 Percent Act.”

First, what are the proposed changes under the “For the 99.8 Percent Act”?

Under the current tax law in the United States, the wealthy may leave up to $5.5 million untaxed to their heirs.

Senator Sanders’s new proposal would change that, as it seeks to leave the vast majority of estates untaxed, while only taxing the wealthiest of estates. Essentially, the Act will create a “graduated rate structure for the estates of the very rich, topping out at a maximum rate of 77 percent.” Further, the Act is in opposition to recent legislation proposed by the Republican party, which would allow funds to pass tax-free from the wealthiest Americans to their heirs.

The proposed Act would tax the largest of estates according to a multi-tiered structure, placing estates in brackets.

The Act creates a “45 percent bracket from $3.5 million to $10 million, a 50 percent bracket from $10 million to $50 million, a 55 percent bracket on wealth from $50 million to $1 billion, and a 77 percent rate on wealth over $1 billion.” If you believe your estate falls into one of the listed brackets, your estate may be implicated.

It is important to understand that, although this new tax proposal is targeted toward the wealthiest Americans, it may still have implications for you and your estate. Currently, the Act is proposed legislation that has not yet been adopted. Being aware of proposed law changes, however, is important to helping ensure you are not taken off guard if new laws are implemented. We know this can be a particularly complicated topic to understand, and we are keeping a watchful eye on changes at both the federal and state level. If you have questions or concerns about anything raised in this article, or other estate planning related questions, we encourage you to reach out to our office.

Posted in Uncategorized

Post navigation

Ways We Can Support Paratrooper Veterans with Ankle and Knee Injuries Access VA Disability Benefits
How Much Do Medical Alert Systems Cost?

Categories

  • Blog
  • Uncategorized

Archives

  • July 2020
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • April 2018
© 2025 Bradley Law Firm PLLC | Disclaimer | A Website Design by Ahrens Technologies