Ms. Virginia Habangbuhay, decedent, owned a property valued at P3,000,000 at the time of her death. Thesaid property was sold by her a month before her death to Mr. Steve Maiklingbuhay for P2,000,000 when its value was P2,200,000. It was agreed by Ms. Habangbuhay and Mr. Maiklingbuhay that the transfer of ownership will take place after Ms. Habangbuhay’s death. For estate tax purposes, what is the amount includible in the gross estate of Ms. Habangbuhay?
Ms. Virginia Habangbuhay, decedent, owned a property valued at P3,000,000 at the time of her death. Thesaid property was sold by her a month before her death to Mr. Steve Maiklingbuhay for P2,000,000 when its value was P2,200,000. It was agreed by Ms. Habangbuhay and Mr. Maiklingbuhay that the transfer of ownership will take place after Ms. Habangbuhay’s death. For estate tax purposes, what is the amount includible in the gross estate of Ms. Habangbuhay?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Ms. Virginia Habangbuhay, decedent, owned a property valued at P3,000,000 at the time of her death. Thesaid property was sold by her a month before her death to Mr. Steve Maiklingbuhay for P2,000,000 when its value was P2,200,000. It was agreed by Ms. Habangbuhay and Mr. Maiklingbuhay that the transfer of ownership will take place after Ms. Habangbuhay’s death.
For estate tax purposes, what is the amount includible in the gross estate of Ms. Habangbuhay?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 2 images
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education