In theory, the estate tax is an endangered species. The tax is
scheduled to be phased out in steps until it disappears in 2010.
So you might conclude that the time and money required for
estate planning is a waste.  Tax specialists, however, say
estate tax planning remains essential. Here's why:    • Although
the tax will be gone in 2010, your estate may be taxed if you
die between now and 2010. In other words, unless your timing is
good, Uncle Sam may grab part of your estate.    • The estate
tax will bounce back in full force in 2011 under the so-called
“sunset” provision. This provision will reinstate the tax at its
old maximum rates unless Congress votes to get rid of it once
and for all. In that case, the estate tax jumps from zero in
2010 to a maximum rate of 55% in 2011. So if you die after 2010,
your estate could really get soaked.    • The federal estate tax
phaseout won't keep states from taxing your estate, and it's
unlikely many states will do away with estate taxes because they
need the money.  M