Welcome to My Blog

Why Blog? The best reason I can think of is now you have a chance to ask your questions and get answers and now I can reach more people quickly where there are new tax law changes or something pertaining to your finances I think you might want to know.

Tuesday, December 28, 2010

Estate Tax Law Changes

Most people will not be affected by the current estate taxes because their estates don't fall into the range where their estate will be taxed.  The Middle Class Tax Relief Act that went into law on 12/17/10 is as follows:

2010 - Exemption $5,000,000 or $0 -- Tax Rate 35% or 0%
2011 - Exemption $5,000,000  -- Tax Rate 35%
2012 - Exemption $5,000,000 -- Tax Rate 35%
2013 - Exemption $1,000,000 -- Tax Rate 55%

Of course, all of this is subject to law changes but basically what it means it, you pay -0- estate taxes if your estate is below $5,000,000 which quite frankly is the vast majority of taxpayers.  The laws are quite complicated and I will be glad to discuss your specific situation with you.

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