Questions from Individual Taxation

Q: Describe the conditions for using the annual exclusion to offset an otherwise

Describe the conditions for using the annual exclusion to offset an otherwise taxable transfer.

Q: List the conditions for making an election to split gifts.

List the conditions for making an election to split gifts.

Q: Identify the factors that determine the proportion of the value of property

Identify the factors that determine the proportion of the value of property held in joint tenancy with the right of survivorship that will be included in a decedent’s gross estate.

Q: Explain how a remainder and an income interest are valued for transfer

Explain how a remainder and an income interest are valued for transfer tax purposes.

Q: Spartan Corporation, a U.S. corporation, reported $

Spartan Corporation, a U.S. corporation, reported $2 million of pretax income from its business operations in Spartania, which were conducted through a foreign branch. Spartania taxes branch income at...

Q: Jack and Jill are owners of UpAHill, an S corporation.

Jack and Jill are owners of UpAHill, an S corporation. They own 25 and 75 percent, respectively. a. What amount of ordinary income and separately stated items are allocated to them for years 1 and 2...

Q: Explain why the fair market value of a life estate is more

Explain why the fair market value of a life estate is more difficult to estimate than an income interest.

Q: Describe a reason why transfers of terminable interests should not qualify for

Describe a reason why transfers of terminable interests should not qualify for the marital deduction.

Q: True or False: Including taxable gifts when calculating the estate tax

True or False: Including taxable gifts when calculating the estate tax subjects these transfers to double taxation. Explain.

Q: People sometimes confuse the unified credit with the exemption equivalent. Describe

People sometimes confuse the unified credit with the exemption equivalent. Describe how these terms differ and how they are related.