Estate and Generation-Skipping Tax (GST) Repeal – What To Do in 2010
On January 1, 2010, and for the first time in almost 100 years, the United States Tax Code does NOT have a tax on the transfer of wealth at the death of an individual. However, there remains a gift tax on lifetime transfers in 2010 at a maximum rate of 35% (10% lower than in 2009).
How Did This Happen?
The Economic Growth and Tax Relief Reconciliation Act of 2001 (“the Act”) was signed into law by President Bush on June 7, 2001. The Act made many changes to the estate, gift and GST transfer tax system, gradually lowering tax rates and increasing exemption amounts.
