Florida Estate Planning and Probate Law Blog focused on recent case law and planning ideas.

STATES POSTURING TO CHANGE THEIR ESTATE TAX EXEMPTIONS

Effective January 1, 2019, residents of the state of Maryland will see their state estate tax exemption increased from $4 million to $5 million. The law went into effect on April 5, 2018, and is not be indexed for inflation. The maximum Maryland estate tax rate of 16% remains unchanged and the inheritance tax is unaltered (dependent upon how closely related the decedent was to the people who inherit from him or her, not on the size of the estate). Legislation is pending in the District of Columbia, where the estate tax exemption currently matches the federal exemption amount of $11.18 million, to “decouple” from the federal exemption. The legislation proposes an exemption amount at $2,185,800, adjusted annually for inflation, for decedents dying on or after January 1, 2019.