Portability Provision Slipping Away
There are some changes to the estate tax parameters pending at the end of this year when the Tax
Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 expires. Some of them
are rather high profile like the increase in the rate to 55% and the decrease in the exclusion to just $1
These are certainly sources of concern within the estate planning community, but the matter of
portability is another thing to take into account.
In the field of estate planning the term "portability" is used to define the ability of a surviving spouse
to utilize the individual estate tax exclusion that would have been afforded to his or her deceased
husband or wife.
The above-mentioned tax relief measure included a portability provision. Previous to the enactment of
this piece of legislation the estate tax exclusion was not portable, and this did not seem fair to many
This portability is slipping away by the minute because it will dissolve into the sunset when the 2010
tax relief act expires at the end of this year.
We are looking at a profound plummet for a widow or widower who will have a $10.24 million
exemption on one day and a $1 million exemption on the next.
As you can see the ever changing tax laws can render your existing estate plan obsolete in the blink of
Without question you are going to want to discuss your current situation with an expert between now
and the end of the year. If you are interested in doing so, simply take a moment to pick up the phone
to arrange for a consultation with a good Indianapolis estate planning lawyer.
Experienced estate planning attorneys Indianapolis IN of the Frank & Kraft Attorneys at Law offers
estate planning and business planning resources to residents of Indianapolis IN. To learn more about
these free resources, please visit http://www.frankkraft.com today.