Important Information and Links
Frequently Asked Questions
Federal Tax Law Changes:
Estate and Gift Taxes:
As of January 1, 2010, Congress has yet to act on
extending the estate tax law. The federal estate tax
unified credit amount (amount that is excluded from
taxation) increased over a period of years from
$1,000,000 to $3,500,000 in 2009). However, there was a
sunset provision that was built into the estate tax
statute, and the law technically expired at the end of
2009. If left alone, the estate tax will reappear in 2011
at the original $1,000,000 level.
It seems likely that Congress will act to either
temporarily or permanently extend the tax, and may so
retroactively. In the meantime, taxpayers should be
aware that the current status of the law is "in limbo"
and they should therefore check back frequently with
tax advisors and professionals.
Helpful Resources:
In case of the death of a family member,
what should I do?
Post-death Checklist
Estate Planning
"Do I really need a will?
Yes. Each individual should create an individualized
estate plan. If you do not make provisions for the
distribution of your assets, the state will impose its
own statutory rules as to who your beneficiaries
should be. These rules often do not reflect the
realities of individual families. The Maryland State Bar
Association (MSBA) has published an article containing
more detailed information that is available online at
Wills and Estates
"Why do I need a power of attorney too? Aren't they
similar?"
A Last Will and Testament sets forth provisions to
direct and control the distribution of someone's assets
after the individual's death. There may be a number of
circumstances (such as sudden illness or extended
travel) during one's lifetime that make it essential to
have an alternate decision-maker named to manage
property on one's behalf. A properly-drafted durable
power of attorney is the best way to avoid the potential
expense of a guardianship proceeding (a guardianship
proceeding is an ongoing legal matter requiring the
continuing supervision of a court). For more
information on guardianships, see MSBA Guardianship.
The above articles are intended to provide
background information only, and should not be
interpreted as providing legal advice.
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