a. The justification for the election
b. A Form 706 need not be filed for the estate.
c. The main heir prefers the date of death value
d. An estate asset is distributed to an heir three months after the decedent’s death
e. Some estate assets have appreciated in value since the death of the decedent
f. Effect of the election on income tax basis.
g. Treatment of income accruing from the property from the date of death to the alternate valuation date.
14. Addison provides all the support of her dependent father, Water, who lives with her. Because Walter is very proud and wants to appear independent, Addison gives him the money to pay his medical bills. Is Addison subject to the Federal gift tax as a result of these transfers? Explain
17. The Randalls have a married son and four grandchildren (ages 15, 17, 18, and 19). They establish a trust under which the income is to be paid annually to the grandchildren until the youngest reaches age 25. At that point the trust terminates and the principal (corpus) is distributed to the son. What annual gift tax exclusions are allowed, if any, on the creation of the trust?