On July 16, 2021, X donated to Y a piece of land with a fair market value of P 5,000,000. On August 17, 2023, X died. As of the date of death, the land has a fair market value of P6,500,000. Which of the following is correct about the estate of X? O The vanishing deduction rate is 60%. O The land will be part of X's gross estate in the amount of P5,000,000. All of the above O The estate of X cannot claim a vaníshing deduction on the land.
On July 16, 2021, X donated to Y a piece of land with a fair market value of P 5,000,000. On August 17, 2023, X died. As of the date of death, the land has a fair market value of P6,500,000. Which of the following is correct about the estate of X? O The vanishing deduction rate is 60%. O The land will be part of X's gross estate in the amount of P5,000,000. All of the above O The estate of X cannot claim a vaníshing deduction on the land.
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:On July 16, 2021, X donated to Y a piece of land with a fair market
value of P 5,000,000. On August 17, 2023, X died. As of the date of
death, the land has a fair market value of P6,500,000. Which of the
following is correct about the estate of X?
O The vanishing deduction rate is 60%.
O The land will be part of X's gross estate in the amount of P5,000,000.
All of the above
O The estate of X cannot claim a vaníshing deduction on the land.
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