Which of the Following Statements Is(are) True for Both Gratuitous

question 48

Multiple Choice

Which of the following statements is(are) true for both gratuitous and testamentary transfers?

• A) A unified credit of up to $1 million reduces the tax on any transfer.
• B) An annual exclusion offsets any transfer up to $12,000.
• C) An election can be made to split a transfer between spouses.
• D) A charitable and a marital deduction are allowed in computing the taxable transfer.
• E) All of these are true.

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Definitions:

Reaction

A process in which substances interact to form new substances with different properties, involving a reorganization of atoms or molecules.

Reaction Mechanism

A detailed step-by-step description of how reactants are converted into products, including the breaking and forming of bonds.

Organic Product

A compound that results from the chemical reactions between molecules containing carbon.

Reaction

A chemical process in which substances interact, leading to the transformation into other substances.