Fixing the estate tax mess in 2010: By the time you read this...

June 2010

Since the June issue of Res Gestae was "put to bed" and sent to the printer, and as of June 16th,  the Senate has taken no further action on federal estate and gift tax reform. But on June 15th, the full House of Representatives did pass a bill (H.R. 5486) that includes the new requirements for Grantor Retained Annuity Trusts (GRATs) mentioned on page 18 of the June issue.  No one knows when or if the Senate will pass a version of the House bill that still includes these new GRAT requirements, which would apply to GRATs established on or after the date of enactment.  On June 10th, Senator Kyl said that based on his own informal conversations, he was "pretty close" to having 60 votes lined up to pass a bill in the Senate to increase the estate tax lifetime exclusion amount to $3.5 million and to decrease the top marginal estate tax rate to 35 percent.

To read the full article (published in Res Gestae), please click here.