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Bitcoin Estate Tax Exposure Calculator

Estimate your federal and state estate tax liability on Bitcoin holdings — and model the impact of the TCJA exemption sunset. All calculations are client-side. Nothing leaves your browser.

⚠ 2026 Estate Tax Note: The federal estate tax exemption may have changed due to legislation enacted in early 2026. The figures used here reflect our best current understanding (~$13.61M per person), but tax law changes frequently. Consult an estate planning attorney for the current exemption amount before making any planning decisions.
Total BTC you hold across all accounts Enter a valid BTC amount (0.01+)
Estimate for estate valuation purposes Enter a valid BTC price ($1,000+)
Real estate, securities, business interests, etc. Enter a valid amount (0+)
Only states with estate or inheritance taxes listed
Model the impact of potential exemption reduction
Total Bitcoin Value
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Total Gross Estate
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BTC + other taxable assets
Federal Exemption Available
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Estimated Federal Estate Tax
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40% on amount above exemption
Estimated State Estate Tax
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Total Estate Tax Exposure
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Federal + state combined
Potential Dynasty Trust Savings
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Estimated tax removed from estate via trust structure
Effective Estate Tax Rate
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As % of total gross estate
How we calculated this

Bitcoin Mining Can Offset Estate Tax Exposure

High estate tax exposure often reflects a concentrated Bitcoin position with no offsetting deductions. Mining creates year-over-year tax deductions that reduce ordinary income and — when structured correctly — can help fund trust contributions that move BTC outside your taxable estate. Abundant Mines documents these strategies in detail.

Explore Bitcoin Mining Tax Strategies →
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The Bitcoin Family Office

Independent research and advisory for families managing significant Bitcoin wealth. We do not manage assets or sell financial products. Our work is educational and structural — custody architecture, estate planning, tax strategy, and governance.

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We advise a small number of families on Bitcoin custody architecture, estate planning, tax structuring, and governance. If you're working through these questions for your own family, we'd be glad to talk.

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Frequently Asked Questions

Is Bitcoin subject to estate tax?
Yes. Bitcoin is treated as property for federal estate tax purposes. Its fair market value on the date of death is included in your gross estate. If your taxable estate exceeds the federal exemption ($13.61M per individual in 2026), the excess is taxed at 40%.
What is the TCJA estate tax sunset?
The Tax Cuts and Jobs Act of 2017 doubled the federal estate tax exemption. The One Big Beautiful Bill Act, signed into law in 2025, made that doubling permanent — the exemption remains approximately $15M per person. Bitcoin holders with significant holdings should model their estate tax exposure annually as the asset appreciates.
Which states have estate taxes on Bitcoin?
As of 2026, 12 states plus D.C. impose estate taxes: Connecticut, Hawaii, Illinois, Maine, Maryland, Massachusetts, Minnesota, New York, Oregon, Rhode Island, Vermont, and Washington. Several states have inheritance taxes instead. State exemptions are often much lower than the federal exemption.
How does a dynasty trust save estate taxes?
A dynasty trust removes assets from your taxable estate permanently. Bitcoin placed in a properly structured dynasty trust can pass to multiple generations without triggering estate or gift tax at each transfer. The trust assets grow outside of your estate, compounding the tax benefit over time.
What is the federal estate tax rate?
The federal estate tax rate is 40% on the taxable estate above the exemption. A married couple can shelter up to $27.22M using portability under current law. Estates above this threshold face a 40% tax on the excess — which can be devastating for illiquid Bitcoin holdings.
Disclaimer: This calculator provides rough estimates for educational purposes only. It does not constitute legal, tax, or financial advice. Estate tax laws are complex, vary significantly by state, and change frequently. State tax calculations are simplified approximations — actual rates have graduated brackets. Portability, marital deductions, charitable deductions, and other factors are not modeled. Consult a qualified estate planning attorney and CPA before making decisions.

Related Reading

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GRATs, dynasty trusts, gifting strategies, and LLC discount structures.

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⚠ Calculator Disclaimer — Read Before Using Results

Results produced by this calculator are rough estimates only and should not be relied upon for any financial, legal, tax, or investment decision. Calculations are based on simplified assumptions and publicly available general tax parameters that may not reflect current law, your specific jurisdiction, your actual tax situation, or recent regulatory changes.

Actual outcomes will differ — often significantly — from any figure shown here due to: individual tax circumstances (filing status, deductions, other income, AMT exposure, state-specific rules), changes in Bitcoin price, changes in federal and state tax law, the specific structure of any trust or entity you use, professional fees and transaction costs, timing of recognition events, and many other factors this tool cannot account for.

This tool does not constitute legal, tax, financial, or investment advice. It is provided for illustrative and educational purposes only. Do not make any financial, legal, or tax decision based on the output of this calculator without first consulting a qualified estate planning attorney, licensed CPA or tax adviser, and registered financial adviser who is familiar with your complete financial situation, jurisdiction, and applicable law.

Tax laws change frequently. Federal estate tax exemptions, state tax rates and exemptions, depreciation rules, and retirement account rules referenced in this tool reflect our best understanding of the law at time of publication and may be outdated. The Bitcoin Family Office makes no representation that information contained herein is current, accurate, or complete.