by Leon C. LeBrecque, CPA, CFP(R), CFA
The expiration of the Bush Tax cuts affects virtually every individual taxpayer in the United State, as well as corporations and nonprofit institutions. In general, on December 31, 2012, the tax law reverts to the tax law previously in effect in 2001. The expiration will increase taxes on all taxpayers in varying amounts, with some taxpayers experiencing a virtual doubling of income taxes. In addition, a major component of the law is the Estate and Gift tax section. If the estate tax reverts to the pre-Bush tax cut level, there will be a significant increase in estate and gift taxes on American with estates over $1M.