Stacey Inherits Unimproved Land (Fair Market Value of $6 Million)

question 14

Multiple Choice

Stacey inherits unimproved land (fair market value of $6 million) from her father on June 1, 2019. She disclaims her interest in the property as follows: one-third on December 1, 2019; one-third on January 3, 2020; and the remaining one-third on May 31, 2020. In all cases, the disclaimers pass the interest to her son (the next heir under state law) . The Federal gift tax applies to Stacey for:

• A) All of the disclaimers.
• B) The disclaimer made in 2019.
• C) The May 31, 2020 disclaimer.
• D) All of the disclaimers made in 2020.
• E) None of the disclaimers.

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Definitions:

Normal Distributions

Normal distributions are a type of statistical distribution that is symmetric and bell-shaped, where most occurrences take place around the central peak.

Independent Variables

Independent variables are the variables in a study that are manipulated or changed to observe their effect on other dependent variables.

Descriptive Statistics

Statistics used to summarize and describe a set of data for a variable.

Inferential Statistics

A branch of statistics that allows for making predictions or inferences about a population based on a sample.