Death Tax Repeal Act of 2025

This bill, known as the "Death Tax Repeal Act of 2025," seeks to fundamentally alter federal transfer taxation. Its primary objective is the repeal of both the federal estate tax and the generation-skipping transfer tax . These repeals would apply to the estates of decedents dying and to generation-skipping transfers occurring on or after the bill's enactment date, with specific provisions for Qualified Domestic Trusts. In conjunction with these repeals, the bill also introduces substantial modifications to the federal gift tax. It establishes a new rate schedule for computing gift tax , replacing the previous structure. Furthermore, it alters the treatment of certain transfers in trust, generally deeming them taxable gifts unless the trust is considered wholly owned by the donor or their spouse. A key change to the gift tax includes setting the lifetime gift exemption at $10,000,000 , which will be adjusted for inflation in subsequent years. The bill also makes conforming amendments, such as removing the term "unified" from the credit against gift tax. All amendments related to the gift tax would apply to gifts made on or after the date of enactment, with a transition rule for the calendar year of enactment.