Exemption portability vs. a credit shelter trust – One offers simplicity, the other provides additional benefits

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Abstract: A major advantage of current federal tax law is that estate tax exemption “portability” is now permanent. This means that married couples can maximize the benefits of their combined exemptions without the need for sophisticated estate planning involving multiple trusts. However, for many people, particularly the affluent, more-sophisticated strategies - such as a credit shelter trust - might still be more beneficial. This article offers a number of reasons why.