Big Estate and Gift Tax Changes Happening by Nov. 23?

Very interesting tax issue that was brought to my attention by New York T & E attorney Lawrence Garbuz.

The following article incredibly says that there is a chance that Congress might be forced to reduce the federal gift tax exemption from $5 million to $1 million as of Nov. 23!

http://trustsandestates.com/wealth_watch/super-committee-proposals-estate-gift-tax-1110/

If such a thing happened, it would not have much impact on charitable giving in the short term (not enough time for people to do anything!).  But, it would take an already chaotic estate planning scene to another level of insanity – which in turn should drive people to estate planning attorneys.  Anytime people are changing or fixing their estate plans is a good time for nonprofits to be making their case for charitable bequests and other planned giving options.

In fact, this type of unexpected chaos in estate tax law should convince nonprofits that consistent marketing of charitable estate planning is an absolute necessity.  Two weeks is just not enough time to somehow remind your donors to remember your institution when changing their plans.

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