2010 Tax Relief act and your estate plan – Short-term answers, long-term questions

Description

Abstract: The Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 was signed into law on Dec. 17. The act provides lower estate tax rates, higher exemptions and more flexibility — through 2012. This article takes a look at tax law in the years leading up to this Tax Relief act, and how it affects estate, gift and generation-skipping transfer tax rates, along with tax exemptions and stepped-up basis rules. A sidebar discusses the portability of the estate tax exemption for 2011 and 2012, and how this can simplify estate planning.