The Receipt of an Inheritance Is Excluded from the Taxable

question 72

True/False

The receipt of an inheritance is excluded from the taxable income of the recipients.

---

Definitions:

Ending Balance

The amount of money or value in an account at the end of a financial period.

Cash Dividend

A payment made by a company out of its profits to its shareholders, usually in the form of cash.

Bonds Payable

Long-term liabilities represented by bonds that a company has issued, which it is obligated to pay back at a future date along with interest payments.

Financing Activities

Transactions related to a company's raising and repaying of funds, including issuing debt, obtaining loans, and returning capital to shareholders.