The new tax law’s $5 million gift-tax exemption went into effect on Jan. 1, replacing the $1 million per person limit. Although most observers believe Congress will make the new exemption permanent, it’s currently scheduled to revert to $1 million in 2013.

The possibility that there will a $1 million estate-tax exemption, plus a higher tax rate, in two years makes a compelling case for the wealthy to give money to their family now.

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