Tax basis for inherited property is generally fair market value as of the date of death. Oftentimes, a value for mineral interests is not included in the deceased inventory. However, it may be possible to arrive at a value for basis and stay within the estate tax exemption.
New developments in technology allow us to compute basis in accordance with I.R.S. regulations at different points in time. The historical estate tax exemption follows:
| YEAR | ESTATE TAX EXEMPTION | |
|---|---|---|
| 1997 | $600,000 | |
| 1998 | $625,000 | |
| 1999 | $650,000 | |
| 2000 | $675,000 | |
| 2001 | $1,000,000 | |
| 2002 | $1,000,000 | |
| 2003 | $1,000,000 | |
| 2004 | $1,500,000 | |
| 2005 | $1,500,000 | |
| 2006 | $2,000,000 | |
| 2007 | $2,000,000 | |
| 2008 | $2,000,000 | |
| 2009 | $3,500,000 | |
| 2010 | $5,000,000 | |
| 2011 | $5,000,000 | |
| 2012 | $5,120,000 | |
| 2013 | $5,340,000 | |
| 2014 | $5,340,000 | |
| 2015 | $5,430,000 | |
| 2016 | $5,450,000 | |