A special law was passed that states that those who die in 2010 are legally exempt from owing federal estate taxes.  A study done by Columbia University showed that people who believe that postponing their own death will benefit their heirs, often will themselves to survive until the beneficial occasion presents itself.  Thanks to exceptions, credits and thresholds, in years other than 2010,  only .3 percent of those who left their estates to their heirs also passed along a tax bill.

Some organizations may be damaged from this estate tax-free year including charities and some non-profit organizations.  Giving to charities is often a good way to reduce tax liability when estate planning.  If there are no taxes to avoid this year, then the organizations that usually received donations from these people will see a decline in funds.

If you are considering planning your estate, contact the Houston estate planning lawyers of Garg & Associates, P.C. by calling 281-362-2865.