Newsletter – March 01, 2010

N E W S L E T T E R     March 1, 2010       2010 has become an interesting year, given the estate tax legislation mess that we are in, as well as the bad economy.   The Economic Growth and Tax Relief Reconciliation Act was signed into law in 2001 and has created estate tax planning problems ever since.  That 2001 law gradually increased the amount that could pass estate tax free from the $1 Million estate tax exemption amount in 2002 to the $3.5 Million estate tax exemption available for decedents dying in 2009.  It  further reduced the maximum estate tax rate from 55%  to 45%.   The 2001 Act was designed to culminate in the complete repeal of all estate taxes in the current year, 2010, and beyond.  However, without more legislation, the estate tax will return with a vengeance after this year.  Continue reading