NU Online News Service, Feb. 5, 10:29 a.m. — Washington
President Bush is proposing to permanently extend repeal of the estate tax.
In his Fiscal Year 2003 budget, the president says that permanent repeal of the tax is necessary to provide citizens with certainty over estate tax issues.
The proposal relates to a tax reduction package enacted last year?called the Economic Growth and Tax Relief Reconciliation Act of 2001?that, among other things, phases out the estate tax on Jan. 1, 2010.
However, that legislation sunsets on Jan. 1. 2011. If it does, the estate tax will come back into being exactly as it stood prior to enactment of the 2001 legislation.