Yes, we are in crisis, but only because we don’t know where we are. Technically, the Federal Estate Tax has been repealed as of January 1, 2010. However, under the current law, the Estate Tax comes back January 1, 2011 but with a lower exemption ($1,000,000) and a higher maximum tax rate (55%). It seems our government caught the entire professional estate planning community flat footed on this one because no one in their right mind anticipated that we would ever see a one year repeal of the … [Read more...] about Estate Tax Crisis of 2010
Uncertainty About the 2010 Estate Tax Repeal
In 2001 the Economic Growth and Tax Relief Reconciliation Act (“EGTRA”) was passed which among other things repealed the Federal Estate Tax. But because of budget limitations, the repeal is for only one year, the year 2010. January 1, 2011, the estate tax comes back automatically unless the law is again changed by Congress. At the same time is made a change in the law pertaining to capital gains taxes to reflect this repeal. When the estate tax was repealed, the law was changed to provide … [Read more...] about Uncertainty About the 2010 Estate Tax Repeal
