Earlier this week, millions of Americans watched the first presidential debate between current President Barack Obama and Republican presidential candidate Mitt Romney. One common theme throughout was the promise of change. Granted, each candidate’s direction of change is quite different from the other’s, however, change will come to our nation.
One change that is set in motion already, regardless of which candidate is elected, is for the estate tax to return to the $1,000,000 exemption. Currently the exemption is set at $5,000,000 and allows most Americans to avoid estate tax. However, the decrease in the exemption will mean that the majority of American’s estates are at risk of being taxed at the 55% rate for estate tax. Being a nomination year it is unlikely that Congress will act in time to alter this law change, and they may choose not to anyways due to our nation’s debt.
Depending on whether Romney or Obama win the election in November, changes will happen. These changes may or may not affect any created estate planning documents. As your estate planning law firm, we are keeping a close eye on the various changes that are in motion or may be put into motion. We will notify our clients of any law changes that affect their documents, and, as always, will provide free reviews to ensure your documents are current with the law and your personal situation.
We recommend for all our clients to come in to the office after the beginning of the year for a free review to ensure their assets are protected with these upcoming changes – especially the lowered estate tax exemption. To schedule your appointment, contact us today at 888.222.1328.
About Morris Hall:
At Morris Hall, we have focused our legal practice on estate planning for over 40 years. Along with estate planning, our attorneys help clients and their families with matters of probate, trust administration, wills, power of attorneys, business planning, succession planning, legacy planning, charitable gifting and other important legal aspects. We also have divisions in financial, real estate and accounting to help you incorporate all of your planning together, ensuring that everything works perfectly for your needs and situation. Our Arizona offices are located in Phoenix, Mesa, Scottsdale, Tucson, Prescott, Flagstaff and Arrowhead. Our New Mexico offices are located in Albuquerque, Las Cruces and Santa Fe. Contact us today at 888.222.1328 to schedule an appointment!
This blog should be used for informational purposes only. It does not create an attorney-client relationship with any reader and should not be construed as legal advice. If you need legal advice, please contact an attorney in your community who can assess the specifics of your situation.