Question: 1
Which of the following statements concerning the estate tax marital deduction is correct?
Question: 2
In which of the following situations will the grantor be taxed on income from trust property.
l. The grantor of a trust gives one of the trust beneficiaries the right to add or delete beneficiaries.
II .An adverse party to the grantor holds the power to determine the timing of trust distributions to the beneficiaries.
Question: 3
In which of the following situations will the grantor be taxed on income from trust property.
l. The grantor of a trust gives one of the trust beneficiaries the right to add or delete beneficiaries.
II .An adverse party to the grantor holds the power to determine the timing of trust distributions to the beneficiaries.
Question: 4
A married man is the sole owner of a small business with an estate tax value of $500,000. In addition, he and his wife own an office building as joint tenants with right of survivorship which they purchased five years ago. The building has an estate tax value of $1,500,000. They are considering dissolving the joint tenancy and retitling the building in the name of the husband as sole owner. Which of the following statements concerning this action is (are) correct?
l. lf the husband dies first, it would be easier to qualify his estate for a Section 303 redemption of his business interest.
ll. lf the husband dies first, the probate costs of his estate could be increased.
Question: 5
Which of the following factors is (are) used to make a choice between having an entity-purchase or a cross-purchase partnership buy-sell agreement?
l. The number of partners
ll. The divergence of the partners' business knowledge and skills
