Wednesday, November 24, 2010
We had clarity on the federal estate tax last December; Congress was moving fast to extend the 2009 rates and exemption. A year later, even those on Capitol Hill say that the future of the estate tax is totally unpredictable.
Even if advisors consider the most likely scenarios and ignore all the rest, there’s still too much ground to cover, which leaves too many clients at risk. If the 2009 rules are reinstated, approximately 280,000 families will be affected by the estate tax. If the 2000 rules are reinstated, that number jumps to over 2 million families, forcing advisors to scramble to ensure that even their mass market clients have proper estate plans in place.
Baltimore CPA and planner Andrew Tignanelli has “given up,” stating that “[t]his is a perfect example of the totally dysfunctional nature of Washington. Sadly, they are not even ashamed.”
Scott Martin, Estate Tax Predictions for 2011, The Trust Advisor Blog, Nov. 20, 2010.