Estate Tax Window Closing

The current estate-tax exemption window is scheduled to close at the end of 2012. Currently, you and your spouse can each gift up to $5.12 million without incurring federal estate or gift taxes. Those exemptions drop to $1 million in 2012 unless Congress acts, subjecting more than just the ultra-rich to big tax bites. If you own a business and would like to transfer all or a portion of your ownership in the business to a trust or directly to your kids or grandkids, the time to act is now! Call your attorney and accountant and get the ball rolling while there is still time. We are not optimistic about the current estate tax exemption staying in-place.