Which of the following statements concerning the inheritance tax (IHT) treatment of married couples is correct? O Married couples are taxed as a single chargeable person for IHT purposes during lifetime and on death O Married couples are taxed separately for IHT purposes, with gifts made between spouses, on death only, exempt from IHT O Married couples are taxed as a single chargeable person for IHT purposes, although their death estates are taxed separately O Married couples are taxed separately for IHT purposes, with gifts made between spouses, both during lifetime and on death, exempt from IHT

Which of the following statements concerning the inheritance tax (IHT) treatment of married couples is correct? O Married couples are taxed as a single chargeable person for IHT purposes during lifetime and on death O Married couples are taxed separately for IHT purposes, with gifts made between spouses, on death only, exempt from IHT O Married couples are taxed as a single chargeable person for IHT purposes, although their death estates are taxed separately O Married couples are taxed separately for IHT purposes, with gifts made between spouses, both during lifetime and on death, exempt from IHT

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Which of the following is a condition a taxpayer must meet to claim injuries spouse? The spouse: A. Didn't claim a refundable tax credit on the joint return. B. Is required to pay the past-due amount. C. Must file married filing separately. D. Received and reported income on a joint return.
The general rule is that someone who inherits property has a tax basis in that property equal to its FMV on the date of the decedent’s death. But there are two exceptions to this rule. Explain both of them briefly.
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Which one of the following statements describes the consequences of using the filing status 'married filing jointly'? A spouse may not be held responsible for tax if that spouse had no income. The tax rates are generally more favorable than that of two single individuals if one has high income and the other has low income. If it is elected on an original return, it may be changed on an amended return.
All the following are exampies of non-taxable income, except Select one O a. Proceeds received as beneficiary of a life insurance contract due to the death of the insured O b. income from illegal activities OC Shares of stock received as an inheritance O d. Cash received as a gift Oe All of these are non-taxable
Julia and Maria are registered domestic partners filing jointly for California tax purposes. Their combined Form 540, line 19, taxable income is $73,721. What is their tax to be entered on line 31 if using the tax table? $4,108 $2,060 $2,578 $2,154 Julia and Maria are registered domestic partners filing jointly for California tax purposes. Their combined Form 540, line 19, taxable income is $73,721. What is their tax to be entered on line 31 if using the tax rate schedule? (round your answer) $3,528 $2,061 $2,398 $2,155
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Please answer if true or False
Of the following statements regarding the estate tax, which is true? O A decedent's taxable estate is never greater than the probate estate. 4 O The taxable estate is reduced by deductions for decedent liabilities, funeral costs, and administrative costs of settling the estate. O The estate tax is not reduced by transfers to the decedent's spouse. O The estate tax exclusion is not reduced by any lifetime gift tax exclusion used by the decedent.
Caleb is a resident of the fictional state of Vernetticut. Vernetticut begins its income tax calculation with federal adjusted gross income. Caleb may need to make an addition on his Vernetticut return if he: 1)Received income that is taxable at the federal level but not at the Vernetticut level. 2) Claimed a deduction allowed at the federal level but not allowed on the Vernetticut return. 3)Received income exempt from both federal and Vernetticut income tax. 4)Incurred an expense that is deductible at both the federal and state levels.
K 2
One of the following statements is correct. Which is it? In the preparation of the donor’s tax return: Dowries are shown as deductions from the gross gifts. Dowries are not shown any more as gross gifts and as deductions. Spouses making donations of conjugal community property prepare one donor’s tax return. Donor’s tax on donations to strangers and to non-strangers are computed and shown in separate returns.