Estate Gift Tax

The Estate and Gift Tax Calculator estimates modeled federal transfer tax for the 2023 or 2024 year from marital status, gross estate, lifetime taxable gifts, and deductions. It uses the exemption table stored in the calculation module and applies a 40% rate only to the amount above that exemption.

Formula

$\text{Taxable estate}=\max(0,\text{Gross estate}-\text{Deductions})$ $\text{Total taxable amount}=\text{Taxable estate}+\text{Lifetime taxable gifts}$ $\text{Tax due}=\max(0,\text{Total taxable amount}-\text{Exemption})\times40\%$

The tool reports exemption used and remaining exemption as well as the tax estimate.

Worked example

For a single filer in 2024 with a $15,000,000 gross estate,$1,000,000 deductions, and $0 prior taxable gifts:

1. Taxable estate: $15,000,000 - $1,000,000 = $14,000,000.
2. The 2024 single exemption in the module is $13,610,000.
3. Amount above exemption: $390,000.
4. Modeled tax: $390,000 x 40% = $156,000.

Questions

Does marriage double the exemption automatically?

The calculator uses separate single and married exemption values from its static table. Portability, elections, surviving-spouse rules, and filing details are not modeled.

Are prior gifts included?

Yes. Enter lifetime taxable gifts and the calculator adds them to the taxable estate before comparing with the exemption.

Is this a filing calculation?

No. It is a simplified estimate and does not prepare Form 706, Form 709, or a legal valuation.

Limitations

Only 2023 and 2024 assumptions are encoded. Exclusions, deductions, valuation discounts, generation-skipping transfer tax, state estate tax, and current-year legislative changes require professional review.