Cash Flow Planning for Life - Helping you reach your personal & professional financial goals.

Cash Flow Planning for Life

Helping you reach your personal & professional financial goals.

The 2010 Tax relief Act reinstated the Estate, Gift and GST tax at a 35% tax rate and $5.12 million (for 2012) exemption.

Portability Election

This is the third installment of 2013 and Beyond Tax Planning
which can also be downloaded from our eBook library.

In addition to the increase in the exemption amount the Act also created a portability election for decedents dying after 2010. This election is made by…

filing a Form 706, even if the estate is under the $5.12 million exemption amount. If the election is made the surviving spouse’s exemption amount will increase by deceased unused exemption.

If Congress did not act on this issue the Estate, Gift and GST tax would have reverted back to the 2000 levels which were $1 million exemption and 55% tax rate. The ATRA made permanent the $5 million exemption with a 40% tax rate, with inflation adjustments. The inflation amount for 2013 is $5.25 million. Portability was also made permanent.2013 & Beyond Tax Planning

This area of tax planning can be complexed. You should consult an estate expert before making any planning decisions.

Interested in learning more about a new approach in tax planning for 2013? Download my FREE eBook: 2013 and Beyond Tax Planning.

Have questions? Contact me at Makara & Associates, LLC. To reach the Naples office call (239) 384-9688 or the Fort Myers office (239) 768-5008. Don’t forget to follow me on LinkedIn and Twitter, and LIKE me on Facebook.

– Mark

This information is based on facts, assumptions and representations as stated and authorities that are subject to change. We will not update this information for subsequent legislative or administrative changes of future judicial interpretations.
LEGAL NOTICE AND DISCLAIMER: The information within this blog is for informational and educational purposes only and is not tax advice and should not be used as such. The facts of each individual situation can have significantly different outcomes when applying tax law. The hiring of a CPA is an important decision not to be based solely on advertisements.


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