Which of the following statements concerning the inclusion in a decedent-employee's gross estate of a lump-sum distribution from a qualified retirement plan to a beneficiary other than the employee's estate is (are) correct?
1.
Lump-sum distributions of payments attributable to the employer's contributions are excluded from the gross estate.
2.
Lump-sum distributions of payments attributable to the decedent-employee's contributions are excluded from the gross estate.
A. Both 1 and 2
B. Neither 1 nor 2
C. 1 only
D. 2 only
Which of the following are ways of passing property from a deceased spouse to a surviving spouse so that the property will qualify for the federal estate tax marital deduction?
1.
When the surviving spouse receives the property by electing to take against the deceased spouse's will
2.
When the surviving spouse receives the property as a consequence of the qualified disclaimer of
another beneficiary
A. 2 only
B. 1 only
C. Neither 1 nor 2
D. Both 1 and 2
In which of the following situations will the grantor be taxed on income from trust property.
1.
The grantor of a trust gives one of the trust beneficiaries the right to add or delete beneficiaries.
2.
An adverse party to the grantor holds the power to determine the timing of trust distributions to the beneficiaries.
A. Both 1 and 2
B. 2 only
C. 1 only
D. Neither 1 nor 2
To determine whether a taxable gift has been made, the IRS focuses on all the following factors EXCEPT:
A. Was the value of the gift property in excess of the annual per-donee exclusion?
B. Was the transferred property real property or personal property?
C. Did the donor absolutely, irrevocably, and currently divest himself of dominion and control over the property?
D. Was the property transferred for less than an adequate and full consideration in money or money's worth?
All the following statements concerning revocable trusts are correct EXCEPT:
A. A transfer to a revocable trust changes the income tax picture of the grantor.
B. A transfer to a revocable trust is treated as an incomplete gift for gift tax purposes.
C. Property transferred to a revocable trust typically avoids being included in the probate estate of the grantor.
D. Revocable trusts are created and operate before the death of the settlor.
All the following are grounds for contesting a will EXCEPT:
A. The widow was bequeathed less than her intestate share.
B. The instrument is a forgery.
C. The testator did not have testamentary capacity.
D. The testator executed a later valid will.
All the following statements concerning the gift and estate tax chartiable deduction are correct EXCEPT:
A. An estate tax charitable deduction is allowed for the full value of property transferred to a qualified charity but only if the property is included in the donor gross estate.
B. It is possible for a charitable contribution made during the donor lifetime to generate both income and transfer tax deductions for the donor.
C. If the donor retains an interest in property contributed to a qualified charity during lifetime, the value of the property may be included in the donor gross estate.
D. A donor is denied a charitable deduction for property that passes to a qualified charity as the result of a
qualified disclaimer if the donor original transfer was to a noncharitable donee.
Which of the following statements concerning certain types of property interests is (are) correct?
1.
The person or entity who has title to the property is the legal owner of the property.
2.
The person who has the right to all income earned on the property is the beneficial or equitable owner of the property.
A. Neither 1 nor 2
B. 1 only
C. 2 only
D. Both 1 and 2
A father and son have been farming land owned by the father for the past 12 years. Just prior to his death, the father was offered $900,000 for his farm because of its possible use as a shopping center. The son would like to continue to farm the land if it can be included in his father's estate at its current use value. Additional facts are:
1.Average annual gross rentals from nearby farms of similar acreage are $36,000.
2.Average annual state and local real estate taxes on the farm are $4,000.
3.The interest rate for loans from the Federal Land Bank is 8 percent.
For federal estate tax purposes, the farm method valuation formula would result in a current use value for the farm of
A. $400,000
B. $500,000
C. $600,000
D. $300,000
Which of the following statements concerning ownership of property under a tenancy by the entirety is correct?
A. The property will be in the probate estate of the first joint tenant to die.
B. One tenant can freely transfer his or her property interest to a third person.
C. It is a form of property ownership that applies only to personal property.
D. It is a form of property ownership available only to married persons.
Nowadays, the certification exams become more and more important and required by more and more enterprises when applying for a job. But how to prepare for the exam effectively? How to prepare for the exam in a short time with less efforts? How to get a ideal result and how to find the most reliable resources? Here on Vcedump.com, you will find all the answers. Vcedump.com provide not only American College exam questions, answers and explanations but also complete assistance on your exam preparation and certification application. If you are confused on your HS-330 exam preparations and American College certification application, do not hesitate to visit our Vcedump.com to find your solutions here.