Andrea Transferred $655,000 of Stock to a Trust, with Income

question 117

Essay

Andrea transferred $655,000 of stock to a trust, with income to be paid to her niece for 20 years (value $192,000)and the remainder to be paid to her nephew (value $463,000). Andrea named a bank as independent trustee but retained the power to determine how much income, if any, will be paid in any particular year. What is the amount of the taxable gift, if any? Explain your answer.

Identify company-related competencies necessary for leading global organizations.

Understand the impact of generational characteristics on global leadership development.

Differentiate between global mindset and market savvy in the context of global leadership.

Identify location-related competencies essential for global leadership.

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Definitions:

Neglected Child

A child who does not receive adequate care, affection, or attention from caregivers.

Rejected Child

A child who is consistently left out, ignored, or actively disliked by their peers.

Controversial Child

A child whose behaviors or characteristics lead to mixed or polarized reactions from peers and adults.