A new administration usually means new estate tax rules.
Since President Biden was recently sworn in, estate taxes are probably going to change sooner, rather than later. President Biden's administration is suggesting that Biden lower the estate tax exemption as well as eliminate the stepped-up basis on death.
While some of these changes will only have an impact on multi-millionaires, the other changes can impact the lives of most people who have modest estates. President Biden has shown an interest in lowering the estate tax exemption to anywhere between $3.5 million and $5 million. As of 2020, the exemption was set at $11.58 million for individuals and $23.16 million for married couples. Biden's numbers are astronomically lower, making more people worried about paying estate taxes in 2021.
