12 Filing-Season Tax Facts for 2024

There is broad agreement among tax policy experts that the current moment in the United States is one of great uncertainty with respect to future tax policies. If no action is taken by Congress, the current historically generous estate tax exemption established in 2017 by the Tax Cuts and Jobs Act will sunset at the end of 2025. At that time, the exemption will effectively be cut in half, falling from about $26 million for a married couple to $13 million. Additionally, the higher TCJA tax brackets and the boosted standard deduction are also set to expire. Tax-focused advisors say it is already becoming more difficult to timely source the capabilities of specialist tax planning experts and estate attorneys who understand the rapidly evolving needs of high-net-worth and ultra-high-net-worth clients. It's also a challenge to know what to expect for clients of more modest means, given questions about where the income brackets will land. To help answer clients' questions and get them organized, here are some basic but important facts to know for 2024, from the ALM Tax Facts library.