What is the name of your state? CALIF: My husband and I have an estate valued at appox 3million. We plan on establishing an AB Bypass trust. Naturally we want to avoid estate/gift tax to our hiers (2 daughters) How much will be tax free? Is it true that gift tax and or estate tax expires in 2011? I have heard this to be true but have also heard that for deaths after 2011, the exemption level is reinstated to 2002 levels and there will be gift/estate taxes. So confusing! Can someone straighten me out