How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Merlo Your Own Question
Merlo, Accountant
Category: Tax
Satisfied Customers: 9783
Experience:  25+ years tax consulting. Specializing in returns for US citizens living abroad
Type Your Tax Question Here...
Merlo is online now
A new question is answered every 9 seconds

What is the federal estate tax in 2012 and what will it drop

Resolved Question:

What is the federal estate tax in 2012 and what will it drop to in 2012 after Bush's tax cuts expire?
Submitted: 7 years ago.
Category: Tax
Expert:  Merlo replied 7 years ago.
Hello 1877,

Currently for the 2009 tax year, the federal estate tax exemption is $3.5 million. Next year in 2010 the estate tax is set to be repealed entirely. If that law is allowed to stand, there will be no estate taxes at all for any decedent who dies in the year 2010, regardless of the size of their estate. And then beginning in the year 2011, the estate tax is scheduled to be reinstated, with an allowed exemption amount of $1 million.

All of this could change with any new legislation enacted under the Obama administration, but this is what currently is scheduled to take place.

If this was helpful please press the Accept button. Positive feedback is also appreciated.

Thank you 1877

Merlo and 3 other Tax Specialists are ready to help you