An Act To Lower The Exclusion Amount For The Estate Tax And Create An Exclusion For Family Farms And Aquaculture, Fishing And Wood Harvesting Businesses

This bill lowers Maine's estate tax exemption from $5.6 million (for estates settling after 2018 but before 2026) to $1 million starting in 2026, meaning more estates will owe tax. It creates a new $3.8 million exemption for farmland or qualifying machinery/equipment (like farm equipment, fishing vessels, or logging tools) transferred to family members. To qualify, the property must be kept by the family member (or their family) for at least 5 years after the transfer. This directly affects estates of Maine farmers, fishermen, and wood harvesters who pass property to family members after 2025.