For more than a year we were twisting in the wind, wondering what was going to happen with respect to the federal estate tax. Congress gave us a new tax law for the interim, with $5,000,000 in every estate to go free, and a provision for "portability" - any unused amount of a married person's estate could be carried over to the estate of the survivor.
The solution which Congress crafted was only for two years, until December 31, 2012, and five months of that is now gone. A year from now we will be wondering once again what will happen with the federal estate tax. If Congress does nothing, we will return to a tax regimen which allows only $1,000,000 in each estate to go free, and there will be no portability.
When there are any answers to what Congress is going to do, we will let you know in subsequent NOTES, We will also post information on our website - Haddletonlaw.com -- which will keep you up-to-date with the changes which have to be made to estate plans.
The website is set up as a resource for you. There are many things we would like to inform you about, but there is not enough room (425 words, more or less) in Notes to do this. There is a lot of material on the website, and we add more every week.
Look first at the website, then if you have a question, or you would like me to comment on a subject which you feel would be of general interest, give me a call. If I can't cover it in Notes, I will deal with it on the website.
The next months will be interesting. The federal budget is stressed, the demands of Medicare and Medicaid are increasing, and there seems no ready source for funds to meet all these needs. Pressure will be placed on the taxation system to meet those needs. We will keep you posted.
In spite of the world's problems, life in Chatham is good. Scott Hamilton directs wonderful plays at the Chatham Drama Guild, Ginny Nickerson presents us with delightful art in her gallery on Main Street, and Chatham Village Market is open in its fine new store!
