Estate Tax - New Law
Answer:
New for 2011 and 2012 is a concept named portability which allows a surviving spouse's estate to use any portion of the exemption amount not used by the other spouse’s estate.
For decedents and gifts made in 2011, a unified credit of $1,730,800 is allowed which is the equivalent of a $5 million dollar exemption is subtracted from the tax calculated on the taxable estate.
For 2012 the $5 Million exemption may be increased for inflation.
For decedents and gifts made in 2011, a unified credit of $1,730,800 is allowed which is the equivalent of a $5 million dollar exemption is subtracted from the tax calculated on the taxable estate.
For 2012 the $5 Million exemption may be increased for inflation.
Interested in more Tax Law Highlights - 2012 Questions?
- Hurricane Sandy - Federal Disaster Area Designation - 10% killer - Will Congress act
- Teacher's deduction
- 2012 Tax Return Filing Season starts January 30th, 2013
- 2012 - List of Tax Return Forms Causing late filing in late February or March 2013
- Social Security - Allowed earnings - Under full retirement age
