Estate and Gift Taxes: Economic Issues

Gravelle, Jane G. ; Maguire, Steven

Library of Congress. Congressional Research Service.

关键词: Taxation;    Gift tax;    Estate tax;   

RP-ID  :  RL30600
RP-ID  :  RL30600 2005-01-03

美国|英语

来源: UNT Digital Library

【 摘 要 】

The Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA, P.L. 107-16) repeals the estate tax in 2010. During the phase-out period, the new law increases the exempt amount to $3.5 million by 2009 ($1.5 million in 2005), lowers the top rate to 45% by 2007 (the top rate in 2005 is 47%), and repeals the federal credit for state death taxes in 2005. The federal gift tax remains though the rate is reduced to the top personal income tax rate (35% in 2005). After repeal of the estate tax, carryover basis replaces step-up in basis for assets transferred at death. The legislation includes an exemption from carryover basis for capital gains of $1.3 million (and an additional $3 million for a surviving spouse). However, the estate tax provision in EGTRRA automatically sunsets December 31, 2010.