The Tax Reform Act of 2010

On December 18, 2010, President Obama signed the Tax Relief,
Unemployment Insurance Re-authorization and Job Creation Act of 2010 (TRA
2010). A few of the key provisions are summarized here below.

For individuals, income tax rates applicable in 2010 are extended for 2011
and 2012. Current rates are 10%, 15%, 25%, 28%, 33%, and 35%. In 2013,
absent any action by Congress, the rates will rise to 15%, 28%, 31%, 36%, and
39.6%.

Similarly, the Trust and Estate Income Tax rates of 25%, 28%, 33%, and
35% are extended for the next two years. These rates will also rise, barring any
action by Congress.

The long term Capital Gains rate of 15% is extended for two years, and
will increase to 20% in 2013.

Please consult your accountant when preparing your tax returns. There
have been additional changes regarding the alternative minimum tax exemption,
the payroll tax, and other changes to the law. Consult with your accountant as
needed.

Garan Lucow Miller, P.C. is a full-service law firm since 1948, providing
quality representation to a national clientele from the Great Lakes Region. We
have nine offices located throughout the State of Michigan with attorneys in
each office that practice in the area of Estate Planning, Probate, and Elder
Law.

For more information, contact Ann Stuursma or Tara Velting
Attorneys Ann Stuursma & Tara Velting
300 Ottawa Ave., N.W., Suite 800
Grand Rapids, MI 49503
(800) 494-6312
www.garanlucow.com