Which of the Following Is an Advantage to Making a Lifetime

question 58

Multiple Choice

Which of the following is an advantage to making a lifetime transfer of property to a donee?

• A)It may receive a basis higher than fair market value for the gift tax.
• B)It removes property from the taxable estate.
• C)It receives a step-up in basis to fair market value.
• D)Appreciation escapes taxation when it is sold at a later date.

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Definitions:

Free Exercise Clause

A provision in the First Amendment to the U.S. Constitution that prohibits the government from interfering with an individual's right to practice their religion.

Establishment Clause

A section of the First Amendment to the U.S. Constitution prohibiting the government from establishing an official religion.

Gay and Lesbian Rights

The movement and efforts aimed at securing equal rights, protections, and societal acceptance for individuals identifying as gay or lesbian.

Supreme Court

The highest judicial body in the United States, possessing the ultimate appellate jurisdiction and authority to interpret the constitutionality of laws.