According to the IRS, 2010 is a great year to die and leave an estate to your family. I’m not sure how congress arrived at this theory, but the federal estate tax is scheduled to be eliminated for estates of individuals who die in 2010.
We expect Congress to act soon to keep the tax alive. For individuals dying after 2010, the federal estate tax returns with a $1,000,000 exemption and a 50 percent maximum rate. This assumes that Congress allows the estate tax to disappear in 2010, which is unlikely. We’ll keep you updated on this issue.