Estate Taxes for 2007 (Try and hold out until 2010. Here's why)

Estate And Gift Tax Rules for 2007

With a new year and a new Congress, the following estate and gift tax laws may be on the table for reexamination. In the meantime, these rules are now in effect.

Federal Estate Tax Exclusion:

$2,000,000 through 2008.

In 2009, the exclusion increases to $2,500,000.

The estate tax is still scheduled to be eliminated for one year in 2010.

Top Estate Tax Rate:

Decreases from 46% to 45%.

Annual Gift Tax Exclusion:

$12,000.

Unchanged from 2006. Lifetime Gift Tax Exclusion: $1,000,000. Unchanged from 2006.