AICPA: Tax Bill to Spur Financial Planning
Gift and estate tax provisions in the newly signed tax bill are expected to trigger a wave of wealth transfers during the next two years as the wealthy adjust their financial planning strategies, according to Lisa Featherngill, who chairs the American Institute of CPAs' committee for the Personal Financial Specialist credential. She attributed that to an increase in lifetime limits on giving.
"The floodgates are going to open for wealth transfers," she said in a prepared statement. The law increases the lifetime giving limit to $5 million per individual, up from $1 million. The statement noted that removes assets from their estates and also removes the appreciation on those assets. That enhances the value of wealth transfer between generation since it reduces the estate tax at death.
