Estate planning in Washington State comes with its own set of challenges, especially when it comes to navigating federal and state estate tax exemptions. For legally married couples in Edmonds, Seattle, and throughout the Puget Sound region, one of the most powerful but underutilized tools in estate planning is the portability provision.
At Washington Elder Law, we help families protect what they’ve worked hard to build, guiding them through smart strategies like portability to maximize their estate tax savings and preserve wealth for future generations.
What Is Portability and How Does It Work?
The portability provision allows the surviving spouse of a married couple to inherit the unused portion of their deceased spouse’s federal estate tax exemption. For example, in 2019, the federal exemption was $11.4 million per individual. With portability, a couple could shield up to $22.8 million from estate taxes; a potential savings of millions.
This strategy became law under the Tax Relief, Unemployment Reauthorization, and Job Creation Act of 2010 (TRA 2010) and applies to all married individuals who passed away on or after January 1, 2011.
While the exemption amount may fluctuate with changes in federal tax law, portability itself remains available and valuable for Washington couples seeking long-term tax efficiency.
Why It Matters for Families in the Greater Seattle Area
In Washington State, where home values and retirement savings can easily exceed seven figures, many families in Edmonds, Bellevue, and across the Puget Sound may be closer to the estate tax threshold than they think.
Proper use of the portability provision ensures that both spouses’ exemptions are preserved, even if only one estate is formally taxed.
Failing to claim portability means the deceased spouse’s unused exemption is lost forever, potentially costing your family significant tax dollars down the road.
How to Claim Portability: Timing Is Everything
To take advantage of the portability provision:
- File IRS Form 706 (Estate Tax Return) within nine months of the first spouse’s death.
- You can file for a six-month extension using IRS Form 4768, but don’t wait too long.
Even if the estate isn’t large enough to require paying estate tax, Form 706 must still be filed to preserve the unused exemption for the surviving spouse.
Tip: Many people skip filing Form 706 thinking it’s unnecessary, but that can be a costly mistake, especially if the survivor’s estate grows significantly over time.
Smart Estate Planning Starts with Local Expertise
At Washington Elder Law, we understand the unique estate planning needs of families in the Puget Sound area. Whether you live in Edmonds, Seattle, or anywhere in Western Washington, we’re here to help you plan with precision.Don’t lose your opportunity to double your estate tax exemption.
Contact Washington Elder Law today to ensure your estate plan is current, compliant, and working hard for your family’s future.
