$5.6 million
Lifetime Estate and Gift Tax Exemption It increases to $5.6 million for 2018.

What was the federal estate tax exemption in 2018?

For 2018, the estate and gift tax exemption is $5.6 million per individual, up from $5.49 million in 2017. That means an individual can leave $5.6 million to heirs and pay no federal estate or gift tax. A married couple will be able to shield north of $11 million ($11.2 million) from federal estate and gift taxes.

Do generation skipping transfer taxes apply to lifetime gifts?

The parent’s generation is skipped to avoid an inheritance being subject to estate taxes twice. To make up for the taxes that may be avoided by skipping one generation, the Internal Revenue Service (IRS) imposes a second layer of tax on gifts and bequests above the estate and lifetime gift exclusion.

When do I have to transfer my tax free savings account?

Service providers who can’t facilitate the transfer of tax-free savings accounts from March 1, 2018 won’t be allowed to accept any new accounts. Picture: Shutterstock

When was transfer of tax deductions first allowed?

Transfers were originally scheduled to be permitted from March 1 last year, but the implementation date was postponed for a year to allow product providers to adapt their systems.

Is it possible to transfer tax benefits to another provider?

Piwe Tshombe, the personal income tax economist at National Treasury, says industry has had time to develop its systems to accommodate transfers, and product providers should be able to transfer benefits to another provider.

What are the new tax rates for 2018 / 2019?

■Up to a turnover of 3% 750 000 0% 335 000 3% 750 000 0% 335 000 3% 750 000 0% 335 000 * Estates and consequently donations in excess of R30m will be taxed at 25% 4 NATURAL PERSON TAX RATES: 28 FEBRUARY 2019 TAXABLE INCOME RATES OF TAX