Estate Tax: Action Urged

07/14/2010

Former Treasury Secretary Robert Rubin will join others in urging Congress to reinstate the estate tax before the August recess.  Apparently this event will be held on July 21, 2010 and Rubin is expected to discuss his reasons to support a permanent fix to the estate tax.  See more of this report at The Hill.

In 2009, the estate tax exemption was $3.5 million.  However, due to a sunset provison in the law that was passed as part of President Bush's tax cuts in  2001, the estate tax was repealed for one year in 2010.  Thus, anyone dying in 2010, even billionaires, will pay no federal estate tax.  However, in 2011, the estate tax is set to be reinstated with only a $1 million exemption (instead of $3.5 million).  Despite rumors and other information that Congress would fix this issue they have failed to do so.

Stay tuned.