Do I Need To File An Estate Tax Return?
Depending on the size of an estate, it may be necessary to file an estate tax return after the death of a loved one. Our goal is to help clients save time and money in the estate administration process.
Whether an estate tax return is required depends on the estate’s value and which tax laws apply. Many Texas residents assume no filing is necessary because the state does not impose an estate tax. However, federal rules and other state laws can still apply depending on where the property is located and the size of the estate.
At the federal level, an estate tax return is required when the total value of the estate exceeds the federal exemption amount. Key federal thresholds include:
- For deaths in 2024, a federal estate tax return is required if the estate exceeds $13.61 million
- For deaths in 2026, the exemption is expected to decrease to approximately $15 million, making advance planning critical
Even if no federal tax is ultimately owed, filing may still be required to preserve portability benefits for a surviving spouse. Missing this step can have long-term consequences for Texas families with high-value estates.
State-level requirements vary and can create confusion, especially for families with assets in multiple states:
- Illinois requires an estate tax return if the estate exceeds $4 million, meaning many estates that owe no federal tax may still owe Illinois estate tax
- Missouri does not require a state estate or inheritance tax return for deaths occurring after January 1, 2005
Because filing obligations depend on asset value, ownership structure and location, working with an estate planning attorney can help ensure compliance and prevent costly errors. Proper legal guidance helps families meet deadlines, preserve exemptions and avoid unnecessary tax exposure.
At the law firm of Farrell, Hamilton & Julian, P.C., we help clients in Illinois and Missouri prepare federal and state estate tax returns. The process of filing an estate tax return is multistep and document-heavy. Our firm is comprised of experienced tax attorneys who understand the complicated nature of the estate administration and probate process. We can explain the requirements and help you complete your estate tax return in a timely and efficient manner.
Why Hire A Lawyer Vs. A CPA?
Estate tax matters require legal analysis, compliance with probate law and strategic planning to protect beneficiaries. While CPAs play an important role, an estate planning lawyer provides broader legal protection.
An estate planning law firm that includes an attorney and a CPA offers a huge advantage:
- Attorneys address probate, trust administration, asset transfers and legal filings
- A CPA supports tax preparation, valuation analysis and reporting accuracy
- Collaboration helps ensure tax strategies align with Texas estate law and federal requirements
At Farrell, Hamilton & Julian, P.C., clients benefit from working with professionals who understand the legal and tax sides of estate administration. Phillip H. Hamilton, an attorney and CPA holder, provides integrated insight that helps reduce risk and improve outcomes.
For high-value estates or complex asset portfolios, legal guidance is essential. An experienced Texas estate planning attorney helps ensure filings are accurate, deadlines are met and long-term family interests are protected.
Assistance With State And Federal Tax Returns
We assist clients in completing both state tax returns and federal tax returns. If a federal tax return is required, it is almost always necessary to file a state tax return as well. However, it is not always necessary to complete a federal tax return if only a state tax return is required. We can help determine what filing is necessary and what information is needed to complete the filing.
Contact Us
For more information about Illinois estate tax filing and asset valuation in the estate administration process, contact our law firm online or by calling 618-208-0263.