It’s official! President Obama signed into law the Tax Relief Act of 2010 making major gift, estate and generation skipping tax changes. Under the new law, the estate tax exemption is increased to $5 million per taxpayer and the maximum tax rate is lowered to 35%. In addition, the unused exemption of a deceased spouse may be transferred to the surviving spouse, who together would have a combined estate tax exemption of $10 million per couple. This article highlights the implications of these tax law changes on estate planning.