Simple Explanation of Estate Planning Estate Document Authority Estate Taxation Estate Planning Information Why you should have your affairs in order!  NO ESTATE TAX DUE IF YOUR ESTATE IS UNDER THESE AMOUNTS  In the case of estates of decedents during the year: The estate tax applicable exclusion amount is: 2003 $1 million 2004 $1.5 million 2005 $1.5 million 2006 $2 million 2007 $2 million 2008 $2 million 2009 $3.5 million 2010 $0 (estate tax repealed) 2011 and thereafter $1 million (estate tax reinstated)

Estate Planning 2005 2006  Annual gift exclusion:  $11,000 $12,000  Estate tax applicable exclusion amount:  $1,500,000 $2,000,000  Gift tax applicable exclusion amount:  $1,000,000 $1,000,000  Noncitizen spouse annual gift exclusion:  $117,000 $120,000  GSTT exemption:  $1,500,000 $2,000,000        Special use valuation limit (qualified real property in decedent's gross estate):  $870,000 $900,000        Qualified conservation easement exclusion:       *Dollar cap amount (exclusion of up to 40% of land value)   $500,000 $500,000        Qualified funeral trusts:       *Maximum contribution to a qualified funeral trust (aggregate contribution limit)  $8,200 $8,500       Qualified family-owned business interest deduction--maximum: N/A N/A       2006 Estate Tax Rate Schedule     Taxable Estate Plus Of Amount Over 0 - $10,000 18% $0 $10,000 - $20,000 20% $10,000 $20,000 - $40,000 22% $20,000 $40,000 - $60,000 24% $40,000 $60,000 - $80,000 26% $60,000 $80,000 - $100,000 28% $80,000 $100,000 - $150,000 30% $100,000 $150,000 - $250,000 32% $150,000 $250,000 - $500,000 34% $250,000 $500,000 - $750,000 37% $500,000 $750,000 - $1,000,000 39% $750,000 $1,000,000 - $1,250,000 41% $1,000,000 $1,250,000 - $1,500,000 43% $1,250,000 $1,500,000 - $2,000,000 45% $1,500,000 $2,000,000 ------------------ 46% $2,000,000       2005 Estate Tax Rate Schedule     Taxable Estate Plus Of Amount Over 0 - $10,000 18% $0 $10,000 - $20,000 20% $10,000 $20,000 - $40,000 22% $20,000 $40,000 - $60,000 24% $40,000 $60,000 - $80,000 26% $60,000 $80,000 - $100,000 28% $80,000 $100,000 - $150,000 30% $100,000 $150,000 - $250,000 32% $150,000 $250,000 - $500,000 34% $250,000 $500,000 - $750,000 37% $500,000 $750,000 - $1,000,000 39% $750,000 $1,000,000 - $1,250,000 41% $1,000,000 $1,250,000 - $1,500,000 43% $1,250,000 $1,500,000 - $2,000,000 45% $1,500,000 $2,000,000 ------------------ 47% $2,000,000