Match Each Statement with the Correct Choice

question 20

Multiple Choice

Match each statement with the correct choice. Some choices may be used more than once or not used at all.
-A gift will cause income tax consequences to the donor.

• A)Step-up in basis
• B)Step-down in basis
• C)Gift of installment notes receivable
• D)Gift of property that has § 1245 or § 1250 potential for recapture of depreciation
• E)Donor's basis on date of gift (appreciated property given, no gift tax due)
• F)The amount of the deceased spouse's taxable estate does not change
• G)Fair market value on date of gift
• H)Expected surviving spouse is in good health and 10 years younger
• I)No income tax consequences to the beneficiary
• J)Income in respect of a decedent (IRD)
• K)No correct choice is given

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Definitions:

Rural Freedmen

Former enslaved African Americans who lived in rural areas during the Reconstruction era in the United States, often working as sharecroppers or tenant farmers.

Freedmen's Bureau

An agency established by Congress in 1865 to assist freed slaves in the South during the Reconstruction era, providing food, housing, education, and legal aid.

Great Depression

The Great Depression was a severe worldwide economic downturn that lasted from 1929 to the late 1930s, marked by high unemployment, deflation, and a massive loss of global trade.

Social Policies

Guidelines and interventions by a government aimed at influencing societal welfare and well-being.