Identify Which of the Following Statements Is False

question 68

Multiple Choice

Identify which of the following statements is false.

• A)Every grantor is entitled to a $5.25 million exemption from the GSTT in 2011.
• B)If Greg transfers assets directly to his grandson, this transaction would be an example of a direct skip.
• C)If Shaad transfers property in trust to his son, with the remainder to his grandson, at the death of the son a taxable termination will result.
• D)The GSTT is levied at a flat rate, which is higher than the top rate under the estate tax rate schedule.

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Definitions:

Jurisdiction

The official power to make legal decisions and judgments, often within a specific geographic area or over certain types of legal cases.

Defendant

The party against whom a legal action is brought in a court of law.

State

A political entity characterized by a defined territory, permanent population, government, and capacity to enter into relations with other states.

Concurrent Jurisdiction

Exists when two or more courts from different systems simultaneously have jurisdiction over a specific case.