2010 has brought the suspension of the federal estate tax and the federal generation-skipping transfer tax and the introduction of the carryover basis system. It is possible that these rules will endure for the duration of 2010, and be replaced by the laws effective for 2011, which will result in the restoration of the federal estate tax and the generation-skipping transfer tax and the elimination of the carryover basis system. It is also possible that changes will be made in 2010 that will be prospective only – or that will be made retroactive to January 1, 2010. If made retroactive, it is not certain if the courts will sustain a retroactive application of whatever rules are enacted. It is also possible that some of the 2010 rules expected to expire in 2011 will be continued.

*RELATED CLE COURSES, "Critical Estate Planning Decisions: 2010, 2011 And Beyond" by Steven G. Siegel.  Go to www.nlfonline.com for the online course available 24/7 and to www.nlfcle.com for the course on Audio CD or DVD. On both web sites, for CLE credits, please click on your state (or any state if you don't care about getting CLE credits) and then, under "Estate Planning", and scroll down to this title. (This course is not available for New York CLE Credits.)