Permanent Estate Tax Relief Act of 2006

[AI summary unavailable — showing source text] Permanent Estate Tax Relief Act of 2006 - Amends the Internal Revenue Code to: (1) increase the estate and gift tax exclusion amount to $5 million beginning in 2010; (2) lower to 15% the estate tax rate for estates up to $25 million and 30% for estates of $25 million or more; (3) repeal after 2009 the estate tax deduction for estate, inheritance, legacy, or succession taxes paid to states; (4) allow a surviving spouse to claim any unused portion of a deceased spouse's estate or gift tax exclusion amount; and (5) allow a taxpayer election to deduct from gross income the lesser of 60% of qualified timber gain or net capital gain. Provides that the general termination date of the Economic Growth and Tax Relief Reconciliation Act of 2001(EGTRRA) (i.e., December 31, 2010) shall not apply to the estate, gift, and generation-skipping transfer tax provisions of EGTRRA not amended by this Act. Repeals provisions of EGTRRA relating to carryover basis of estate property to allow heirs of such property after 2009 to use date-of-death fair market values.…