Portability Rule Offers Major Estate Tax Savings for California Couples

Tseng Law Firm is urging California residents to take a closer look at the IRS's Deceased Spousal Unused Exclusion (DSUE), better known as the estate tax portability rule, which could allow surviving spouses to shield up to $13.99 million in federal estate taxes this year. When combined with their own exemption, a married couple can transfer up to $27.98 million tax-free to their heirs. But according to estate planning attorney Sabrina Tseng, this potentially life-changing benefit doesn't happen automatically and requires timely legal action to secure.

"Portability can save families millions, but only if the survivor files the correct forms within the IRS deadline," said Sabrina Tseng, owner of Tseng Law Firm. "Many grieving spouses don't realize this window exists-or that it can close quickly if not handled properly. We work closely with each client to preserve these valuable benefits before they're lost for good."

The DSUE provision enables a surviving spouse to carry forward any unused portion of their deceased spouse's federal estate tax exemption, dramatically increasing the tax-free inheritance their loved ones can receive. However, claiming this benefit requires an estate tax return filing-within nine months of death-with limited opportunities to request an extension. For many families in the Bay Area, where property values continue to rise, these estate tax exemptions are not just a technical detail but a critical part of multigenerational wealth planning.

In light of federal exemption levels projected to drop after 2025, Tseng recommends that couples review their estate plans now and consider filing for portability even if no taxes are currently due. "You don't get a second chance at claiming the DSUE," said Tseng. "Our goal is simple: to help families in California stay protected from unnecessary tax burdens with proactive, thoughtful legal planning."

Read the full blog post at https://tsenglawfirm.com/portability-dsue-estate-tax-california/

Tseng Law Firm
Sabrina Tseng
(510) 835-3090
2413 Webb Avenue Suite B Alameda, CA 94501
https://tsenglawfirm.com/

Tseng Law Firm is a trusted estate planning and probate law firm serving clients throughout the San Francisco Bay Area with a commitment to clarity, compassion, and comprehensive legal guidance. Led by attorney Sabrina Tseng, the firm provides personalized solutions for wills, trusts, powers of attorney, and other essential estate planning tools, helping individuals and families secure their legacies and navigate complex legal matters with confidence. With a focus on building long-term relationships and demystifying the legal process, Tseng Law Firm ensures clients are supported at every stage of life. Learn more at https://tsenglawfirm.com/

This release was published on openPR.