Identify Which of the Following Statements Is True

question 72

Essay

Identify which of the following statements is true.
A) A statutory exemption from the gift tax is available for property transfers between divorced individuals when the divorce occurs during a three- year period beginning one year before the transfer agreement is made.
B) Cash paid directly to a medical school for room and board is a "qualified transfer" and not subject to the gift tax.
C) Transfers by an individual to a political party constitute a gift subject to the gift tax rules.
D) All of the above are false.

• A) A statutory exemption from the gift tax is available for property transfers between divorced individuals when the divorce occurs during a three- year period beginning one year before the transfer agreement is made.
• B) Cash paid directly to a medical school for room and board is a "qualified transfer" and not subject to the gift tax.
• C) Transfers by an individual to a political party constitute a gift subject to the gift tax rules.
• D) All of the above are false.

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Definitions:

Mail or Telephone Order Merchandise Rule

A Federal Trade Commission rule ensuring that companies ship orders made by mail, phone, or online in a timely manner, or provide timely notice of delays and offer the option of a refund.

Complete Package

Typically describes a product or offer that includes all necessary components or features as a single, comprehensive unit.

Federal Law

Legislation enacted by the national government of a country that applies to all of its citizens and entities.

Funeral Services

Professional services involved in organizing and managing a funeral, including embalming, burial, and memorial services.