Which of the Following Is a True Statement About the Federal

question 73

Multiple Choice

Which of the following is a true statement about the Federal gift tax return (Form 709) ?

• A) Form 709 is due by the 15^th day of the ninth month following the date of the gift.
• B) Form 709 must be filed if a taxpayer wishes to elect gift splitting.
• C) Form 709 need not be filed unless a taxpayer's taxable gifts exceed the exemption equivalent.
• D) Form 709 is due nine months after the death of the decedent.
• E) None of the choices are true.

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Definitions:

Capital Stock

The amount of shares that a company's shareholders have purchased and own, representing ownership in the company.

Dividend

A share of the profits paid to shareholders of a corporation, usually distributed in cash or additional stocks.

Commission Charges

Fees charged by brokers or agents for their services in facilitating transactions.

Dollar Amount

A numeric monetary value measured in units of the currency dollar.