This article will explore some planning steps which may be considered for married individuals domiciled in a state having an exemption which is less than the federal exemption. This problem may "disappear" (or may be reduced) in 2011, when the changes to the Internal Revenue Code made by EGTRRA "sunset (i.e., at the time, pre-EGTRRA provisions become effective, resulting in the restoration of the state death tax and the reduction in the federal estate tax exemption to $1 million). In other words, in many cases, the problem attributable to the smaller state estate tax exemption relative to the federal exemption are only temporary.
Mitchell M. Gans and Jonathan G. Blattmachr,
Quadpartite Will: Decoupling and the Next Generation of Instruments, 32 Est. Plan 3
Available at: https://scholarlycommons.law.hofstra.edu/faculty_scholarship/407