A Taxpayer Must Not Retain Any Incidents of Ownership in a Life

question 39

True/False

A taxpayer must not retain any incidents of ownership in a life insurance policy on his or her life to have it excluded from his or her taxable estate.

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Definitions:

Behaviorism

A branch of psychology that studies observable behaviors, emphasizing the role of environmental factors in shaping behavior.

Cognitive Development

Refers to the progressive and ongoing growth of perception, memory, imagination, and problem-solving skills.

Concrete Operational

A stage in Piaget's theory of cognitive development, occurring roughly between the ages of 7 and 12, during which children gain the ability to think logically about concrete events.

Sensorimotor

Referring to a developmental stage in children characterized by the coordination of sensory experiences with motor actions.