The estate transfer tax is calculated by determining a ratio of assets included in the federal gross estate attributable to Louisiana to the total federal gross estate. This ratio is applied to the state death tax credit allowable under Internal Revenue Code Section 2011. The portion of the state death tax credit allowable to Louisiana that exceeds the inheritance tax due is the state estate transfer tax.

The Economic Growth and Tax Relief Reconciliation Act of 2001 phased out the state estate tax credit between 2002 and 2005 and replaced the credit with a deduction for state estate taxes for deaths that occur after December 31, 2004. Because R.S. 47:2432 only imposes the estate transfer tax if a state death tax credit is allow against the federal estate tax, no state estate transfer tax is due for deaths after December 31, 2004. However, the Economic Growth and Tax Relief Reconciliation Act of 2001 provisions will sunset on January 1, 2011, and the Internal Revenue Code will revert to the provisions that were in effect before it was passed unless further legislation is enacted to make its changes permanent. If Congress fails to make the Act’s changes permanent and the state estate tax credit is restored, the state estate transfer tax will again be due.

Louisiana real estate is currently greatly undervalued and will like be amongst the first areas to bounce back as the economy grows, for those savvy enough to invest now. This state offers a number of attractive features that will be a draw to those looking to relocate. A large state, Louisiana, blends the urban, suburban, and rural areas to create a wonderful pastiche.

Looking to live in a suburban area, but can’t stand the thought of being away from the bustling nightlife? In Louisiana, you can get both within a short and easy ride. The homes here are as diverse as the different cities and areas.

For those looking for classic and majestic, some homes are over one hundred years old, while those looking for modern and fun can take advantage of the newly developed real estate areas of the country. If you are budget conscious, or just like to get directly involved in their home design, the state offers a number of ‘fixer-upper’ properties and homes that may give you the best bang for your buck.

Contrary to what you may see in the media, the state also offers a number of properties unaffected by the past storms and totally ready to be lived in immediately, with no fuss or repairs necessary.In the coming century, it will become an increasingly attractive destination for businesses.

The state is a prime hub for international shipping, with the long coastline and relative location to the east coast, southern states, and Midwest. With the recent tragedies, a great deal of the state’s infrastructure has been rebuilt and retrofitted for the 21st century, making shipping all the easier.

Perhaps the greatest reason to consider a move to Louisiana is the people and culture. The people of Louisiana have done an amazing job of preserving the area’s long and exciting history. Not content to live the history confined to museums and exhibits, they live and breathe their history.

Louisiana is not just a place to live; it is a place to be alive. By owning real estate here, you can become a part of that history. As you are considering your move, contact an experienced, native, Louisiana real estate agent. They will be able to give you a detailed primer to the state and its real estate options.