Item: Czepiga Daly Pope & Perri LLC
Rating: 5
Author: J.G., Greensboro, GA

Federal and State Estate Tax

The federal government and most states levy a tax on a person’s accumulated net worth at death. Because some states and the federal government provide a partial exemption from these taxes if your net worth is below a certain threshold, most people are exempt from these taxes.

Federal Estate Tax Exemption

In recent years and in light of inflation, the amount of the federal estate tax exemption has been adjusted each year. For example, it was $12.06 million in 2022, but as of 2023 has increased to $12.92 million. However, that mechanism itself is temporary since current legislation is set to expire in 2026. When that occurs, unless Congress otherwise changes it before then, the federal exemption amount will fall all the way back down to $5.49 million.

State Estate Tax Exemption

In Connecticut, the state estate tax exemption is not directly tied to inflation, but as of 2023, Connecticut's state estate tax exemption amount matches the federal amount of $12.92 million.

This relatively low taxability threshold has caused many Connecticut residents to consider relocating to more "tax friendly" states, such as Florida. However, in order to establish Florida domicile, and avoid paying Connecticut estate tax, there are a number of steps which need to be taken in order to show an intent to permanently remain in Florida.

Some taxes can be avoided or reduced with proper estate planning. Contact us today as we would be happy to discuss this with you as part of your estate plan.

★★★★★

“I cannot find the words to thank all of you properly for your hard work and perseverance. It is a great relief to have gotten a just and proper ruling from the court. All of you have shown great professionalism and concern for the issues I brought before you.” J.G., Greensboro, GA

“All dealings have been excellent. Very professional organization. Great explanations of our options related to preparing a will. Clear, concise, great guidance and not trying to "sell us" on something we do not need. Administrative folks were super. All of our related paperwork was clearly tagged with what we needed to provide/sign/read /etc. Made things easy. Nice work.” L.G., Berlin, CT

“We loved working with your firm and really trust the advice. You have a well-deserved reputation and it was nice to check off a number of things that had been on our To-Do list. Although it's hard to make the time to take care of some of these matters, it is a great relief when you do so. I would definitely recommend your firm to anyone in need of the services that you provide.” L.M., Simsbury, CT

Everyone at the firm were consummate professionals. We felt completely comfortable with their guidance and were impressed by their compassion and commitment to us. R.H., Canton, CT

The attorney who served us was kind, thorough, and very responsive. He pointed out some issues in my mother's documents that could have been problematic down the road. After my mother passed, everything was as seamless as possible - a true gift at a time when life and death decisions were being made and emotions were overwhelming. J.B., Cromwell, CT

Great service, was on top of everything. I'm glad they were there to help us though a tough time. J.M., Farmington, CT

Submit a Law Firm Client Review