Identify Which of the Following Statements Is True

question 62

Multiple Choice

Identify which of the following statements is true.

• A)If the gifted property's FMV on the date of the gift exceeds its adjusted basis and the donor pays no gift tax,the donee's basis is the same as the donor's basis if the property is sold for a loss.
• B)Prospective donors should not dispose of property that has declined in value by selling it rather than gifting it.
• C)A $13,000 annual exclusion per donee is available for both gift tax and estate tax purposes.
• D)All of the above are false.

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Definitions:

Cooperative Effort

Collaborative actions taken by a group towards achieving a common goal.

Considerable Effort

A significant amount of mental or physical energy expended towards achieving a goal or completing a task.

Big Five Personality

A model that describes human personality through five broad dimensions: openness, conscientiousness, extraversion, agreeableness, and neuroticism.

Locus Of Control

A psychological concept that describes individuals' belief about the extent to which their actions can influence the events affecting their lives.