Individuals with significant assets can reduce their tax liability upon their death by using sophisticated wills and trusts. In 2010, the wills, trust and estate area is facing a unique situation. For the 2010 calendar year there is no federal estate tax. After 2010, the federal estate tax exemption will go back to one million dollars.
Well drafted wills and trusts can create schemes that minimize the estate tax faced by individuals. Should you have an estate of over a million dollars, it is important that you meet with an estate planning attorney. Appropriate action must be taken to see to it that your heirs receive the assets you have accumulated during the course of your lifetime without paying 50% of these assets in federal estate taxes.