Key Takeaways
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The federal estate tax exemption increases to $15 million per individual in 2026, or $30 million for married couples.
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The annual gift tax exclusion remains $19,000 per recipient for 2026.
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The lifetime gift and estate tax exemption increases to $15 million per individual.
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These changes take effect January 1, 2026.
The Internal Revenue Service (IRS) has released the federal estate tax and gift tax exclusion amounts for tax year 2026. The IRS adjusts these figures annually for inflation. While higher exemptions may reduce federal tax exposure for many families, these changes do not eliminate the need for thoughtful estate planning.
If you have questions about how these updates affect your estate plan, the attorneys at Michaelson Law can help. Call our office at (702) 731-2333 to schedule a consultation.
2026 Federal Estate Tax Exemption
Beginning January 1, 2026, the federal estate tax exemption increases to $15 million per individual and $30 million for married couples. This is an increase from the $13.99 million exemption applicable to individuals who die in 2025.
If the taxable value of an estate falls below this threshold, the estate generally will not owe federal estate tax. However, many states impose their own estate or inheritance taxes with significantly lower exemption amounts. Federal exemptions do not eliminate potential state-level tax exposure.
A properly structured estate plan can help minimize taxes and ensure your assets pass efficiently to your intended beneficiaries. Michaelson Law works with individuals and families to design estate plans that align with both federal and Nevada law.
2026 Gift Tax Exemption Rules
For 2026, the annual federal gift tax exclusion remains $19,000 per recipient. You may gift up to this amount to any individual during the calendar year without filing a federal gift tax return (IRS Form 709).
Married couples may gift up to $38,000 per recipient in 2026 by electing gift-splitting. Gift-splitting requires coordination and proper reporting, so it is important to work with a knowledgeable estate planning attorney and tax advisor.
The federal gift tax applies when you transfer money or property, including cash, real estate, stocks, cryptocurrency, or valuable personal property, without receiving equivalent value in return and exceed the annual exclusion. When gift tax applies, the donor, not the recipient, is responsible for the tax.
Special Gift Tax Rules for Spouses
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Gifts between spouses who are U.S. citizens are unlimited and generally do not trigger gift tax.
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If your spouse is not a U.S. citizen, the annual exclusion for gifts increases to $194,000 in 2026, up from $190,000 in 2025.
These rules can significantly impact long-term estate and tax planning, particularly for high-net-worth families or blended households.
Lifetime Gift and Estate Tax Exemption for 2026
The lifetime gift and estate tax exemption increases to $15 million per individual in 2026. Taxable gifts you make during your lifetime reduce this total exemption. You generally will not owe federal gift tax unless your cumulative taxable gifts exceed the lifetime exemption.
Strategic lifetime gifting, trust planning, and asset protection strategies can help preserve wealth and reduce future tax exposure. Michaelson Law can help you evaluate whether these strategies make sense for your goals.
Why You Should Review Your Estate Plan in 2026
Even with a higher federal estate tax exemption, reviewing and updating your estate plan remains essential.
Common Reasons to Update Your Estate Plan
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State estate and inheritance taxes: Many states impose their own estate or inheritance taxes with lower exemption thresholds.
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Non-tax planning goals: Estate planning also addresses guardianship for minor children, special needs planning, trusts, and health care decisions.
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Life changes: Marriage, divorce, births, deaths, or major financial changes often require updates.
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Beneficiary changes: Relationships and financial needs evolve over time.
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Changes in laws: Estate planning laws beyond federal tax rules change regularly.
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Asset growth or new assets: Business interests, real estate, investments, and digital assets require proper planning.
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Executor and trustee selection: Your chosen fiduciaries may no longer be the best fit.
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Digital assets: Online accounts, cryptocurrency, and intellectual property require clear instructions.
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Health care directives and powers of attorney: These documents should reflect your current wishes and trusted decision-makers.
A comprehensive estate plan does far more than reduce taxes. It protects your family, preserves your legacy, and ensures your wishes are honored.
Talk to a Nevada Estate Planning Attorney
Federal tax laws may change, but proactive estate planning remains one of the most important steps you can take for your family and your future.
The experienced estate planning attorneys at Michaelson Law serve individuals and families throughout Nevada from our Summerlin and Henderson offices. We provide clear, practical guidance tailored to your goals.
Call Michaelson Law today at (702) 731-2333 to schedule your estate planning consultation.