Helping you understand the American Taxpayer Relief Act of 2012 | Boston Law Firms http://www.pabianrussell.com/Estate-Planning-Blog/american-taxpayer-relief-act

1. Helping you understand
the
American Taxpayer Relief
Act of 2012 | Boston Law
Firms
PABIAN & RUSSELL, LLC
ESTATE PLANNING, CORPORATE LAW,
ELDER LAW, TAXATION
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Boston MA 02110-3113
Phone: 617.951.3100
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2. Helping you understand
the American Taxpayer
Relief Act of 2012 |
Boston Law Firms
 On January 2, 2013, President Obama signed the
American Taxpayer Relief Act (the Act) into law.
The Act extends many opportunities in estate
planning, such as:
 Estate and Gift Tax
 Generation Skipping Transfer (“GST”) Tax

3. Estate and Gift Tax
 The Act makes the unification of the
federal estate and gift tax exemptions
permanent. It also continues the
“portability” of the unified exemption
amount, meaning: a married couple
now may transfer $10 million during
their lifetime or when they die without
being forced to pay a federal transfer
tax.

4. Generation Skipping
Transfer Tax
 The new law permanently sets the
Generation Skipping Transfer Tax
exemption amount to $5 million and
the tax rate at 40%. This means that
each individual may transfer - to their
grandchildren - up to $5 million without
incurring federal gift or GST tax.

5. For more details, read Pabian &
Russell’s Estate Planning blog
entry, called: Understanding the
American Taxpayer Relief Act of
2012
Pabian & Russell, LLC
Website: Boston Law Firms