Questions from Federal Taxation

Q: Assume the same facts as in Problem C:13-29

Assume the same facts as in Problem C:13-29 except that Annie’s will leaves all her property to a QTIP trust for Dave for life with the remainder to their children. What tax issues should Dave James a...

Q: Jeung Hong, a widower, died in March 2017. His

Jeung Hong, a widower, died in March 2017. His gross estate was $6.5 million and, at the time of his death, he owed debts of $60,000. His will made a bequest of $200,000 to his undergraduate alma mate...

Q: Elaine died on May 1, 2017. Her gross estate consisted

Elaine died on May 1, 2017. Her gross estate consisted of the following items: Elaine’s Sec. 2053 deductions totaled $200,000. She had no other deductions. a. What percentage of El...

Q: Val died on May 13, 2017. On July 3,

Val died on May 13, 2017. On July 3, 2015, she gave a $400,000 life insurance policy on her own life to son Ray. Because the value of the policy was relatively low, the transfer did not cause any gift...

Q: In December 2015, Jody transferred stock having an $8,

In December 2015, Jody transferred stock having an $8,114,000 FMV to her daughter Joan. Jody paid $1,068,000 ($3,185,800 - $2,117,800) of gift taxes on this transfer. When Jody died in January 2017, t...

Q: In December 2015, Curt and Kate elected gift splitting to report

In December 2015, Curt and Kate elected gift splitting to report $16,228,000 of gifts of stocks Curt made to Curt, Jr. Each paid gift taxes of $1,068,000 by spending his or her own funds. Kate died in...

Q: John died in 2017. What amount, if any, was

John died in 2017. What amount, if any, was included in his gross estate in each of the following situations: a. In 1997, John created a revocable trust, funded it with $400,000 of assets, and named...

Q: Complete the chart for each of the following independent distributions. Assume

Complete the chart for each of the following independent distributions. Assume that all distributions are nonliquidating and pro rata to the partners, that no contributed property was distributed, tha...

Q: Maria died two years after her retirement. At the time of

Maria died two years after her retirement. At the time of her death at age 67, she was covered by the two annuities listed below. • An annuity purchased by Maria’s father providing benefits to Maria...

Q: Tai was the sole income beneficiary for life of each of the

Tai was the sole income beneficiary for life of each of the trusts described below. For each trust, indicate whether and why it was includible in Tai’s gross estate. a. A trust created under the will...